Aspen has completed a £3,050,000 bridge-to-let facility to support the refinance and ongoing development of a 21-bedroom HMO scheme on Iffley Road in Oxford.
The funding package is structured at 80% LTV on day one, with an initial advance of £2.05m used to redeem the existing purchase loan and continue works. A further £1m is available in staged drawdowns to fund the remainder of the project.
Construction is already progressing on the scheme, which has full planning permission to amalgamate the ground and first floors. Plastering and dry-lining works are complete, and the development is moving towards stabilisation of the rent roll ahead of a planned refinance onto a longer-term facility.
The borrower is an established HMO investor with a substantial local portfolio and a track record of delivering similar conversions in the Oxford market. Aspen has previously funded multiple schemes for the client, reflecting an ongoing lending relationship.
The bridge was finalised at 0.78% per month over 12 months, transitioning to a serviced buy-to-let period at 6.24% per annum over two years.
The deal was handled from start to finish by Laura Randall, senior underwriter at Aspen, in line with the lender’s one-person-per-case Customer Service Commitment.
“This transaction demonstrates our ability to deliver flexible, structured funding solutions for experienced operators executing proven strategies,” said Laura Randall. “The borrower has a strong track record of delivering successful HMO conversions in the Oxford market, and this scheme is a continuation of that strategy.”
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