Market Financial Solutions completes large bridging loan for country estate
Market Financial Solutions (MFS) has completed a £6.3 million bridging loan on a vast country estate in West Sussex.
A broker, that had previously worked with MFS, returned requiring a loan for a client who needed to clear existing first and second charge loans on a large 17-bedroom country house. The property is set in a large plot of land, which includes multiple outbuildings.
The client has planning permission to convert the outbuildings into holiday lets, while they intend to separate the main manor house into multiple residential dwellings to maximise their potential yield.
MFS had to find a valuer with the skill to handle the case, given the nature of the estate and the multiple properties on it, particularly the holiday lets.
The lender used its extensive panel of valuers to find the appropriate one and instruct them to get to work immediately.
Upon receiving the valuation report, MFS was able to raise the funds needed to clear the finance currently secured to the property.
Thereafter MFS was also able to raise the requested additional finance to allow the client to convert the main manor house into multiple residential dwellings.
The loan totalled £6.3 million at an LTV of 67%. MFS was also able to lend against the open market value, ensuring the client received the best value for their asset.
MFS’ bridging finance has provided the client with breathing room to finding buyers for the separate properties on the estate. The sale of those assets is the exit strategy for the loan.
Paresh Raja, pictured, CEO of MFS, said:
“This case presented several challenges, most notably finding the right valuer. There are not many that could confidently value an array of different properties, some with different uses, across one rural estate.
But crucially, MFS has an extensive network of valuers we partner with, so we were able to select one with the skill and experience to provide a comprehensive report, which in turn allowed us to act with speed and confidence.
Ultimately, this case underlines the flexibility of our bridging loans – we do not apply a rigid tick-box methodology when assessing an enquiry, but instead are able to understand the full picture.
Here, we took into consideration the client’s vast experience as a property investor, as well as the different pieces that made up the asset in question.
This meant we could deliver a large loan that met the client’s exact needs, and I’m delighted with the performance of the MFS underwriters throughout.”