LHV Bank has completed a £7.01m commercial mortgage refinance for Bicester Hotel Golf & Spa, a four-star hospitality and leisure resort in Oxfordshire, consolidating the borrower’s existing debt into a single facility and releasing capital for future investment.
The resort operates across multiple revenue streams, with 52 guest bedrooms, an 18-hole golf course, spa, health club, restaurant, event facilities and food and beverage operations across the site.
The facility was structured at 70% LTV over a five-year term, with an initial interest-only period followed by capital and interest repayments on a 20-year amortisation profile. By bringing together several existing debt facilities under one structure, the refinance improved cash flow while providing the operator with additional headroom to support planned investment and growth.
As a long-established, owner-operated asset with trading across several business lines, the transaction required detailed analysis of the resort’s financial performance, forecasts and growth strategy. The deal was introduced by Paul Mak of Pomegranate Commercial Finance.
“Hospitality assets often require lenders to look beyond a single set of accounts and understand the wider story behind the business,” said Callum Livingstone, lending director at LHV Bank (pictured).
“In this case, we were supporting an experienced operator with a long track record of ownership, a clear strategy for the site, and a management team already delivering meaningful operational improvements.
“What stood out was the strength of the underlying asset and the sponsor’s commitment to investing in its future. The refinance created a simpler capital structure and provided the flexibility needed to support the next phase of growth. These are the types of transactions where a relationship-led approach and a detailed understanding of the business are vital.”
Mak highlighted the importance of lender engagement on a transaction of this complexity. “From the outset, LHV approached this transaction with a commercial mindset,” he said.
“There was open communication throughout the process, sensible discussions around the business plan and a genuine willingness to work collaboratively towards a solution. That level of engagement gives brokers real trust when introducing clients with substantial trading businesses and long-term growth ambitions.”
Please visit:
Our Sponsor
