Dragonfly Property Finance provides £18.5m acquisition bridge
Short- and medium-term lender, Dragonfly Property Finance, part of the Octopus group, today announced it provided an £18.5m acquisition bridge for the purchase of 50 units of a recently completed development in the South East.
The client was introduced by Tony Ibson of Simply New Build, which provides niche lending solutions for clients around the UK. To ensure the best possible terms for the borrower, the 2-year acquisition bridge was packaged by Kit Thompson of Brightstar.
Crucially, Dragonfly was able to boost the LTV to 68% and lower the interest rate burden by taking into account the fact that 15 of the units had already exchanged. This meant it could structure the debt even more aggressively.
Mark Posniak, Managing Director, Dragonfly Property Finance, commented:
“Tony is a high quality introducer and Brightstar being Brightstar meant a lot of the required hard work had been done before the deal was even presented to us. By taking into account the fact that a decent chunk of the units had already been sold we were then able to provide optimal loan terms. A loan of this size, at this LTV, hopefully shows that if the numbers stack up, our appetite to lend remains very strong whatever is happening in the broader economy.”
Tony Ibson, Director, Simply New Build, added:
“I have known Mark and the Dragonfly team for many years and when the client approached me they were always going to be the first port of call. We initially spoke to them about potentially financing the acquisition in March and, against a backdrop of the EU referendum, I was impressed by the certainty of lending they provided throughout. For my client, the fact that they were then able to offer such competitive terms by really drilling down into the details of the loan was the icing on the cake.”
Kit Thompson, Head of Bridging, Brightstar Financial, commented:
“For big and bespoke loans, Dragonfly, with their considerable financial strength and experience, are always one of the go-to lenders. When they say yes, they really do mean yes and that’s invaluable in this kind of uncertain market environment.”