Recognise Bank has announced that it has provided £1.96 million to refinance and support the development of a student accommodation scheme in Aberdeen city centre.
The loan supports an experienced property investor converting a former office building into 52 self-contained student studios. Planning consent for the conversion had already been secured before the facility was arranged.
James Williams of Portway Finance introduced the nine-month facility, which completed at 70% loan-to-value. The borrower needed to refinance an existing lender within a tight deadline.
The deal involved several considerations. The commercial nature of the asset and the LTV at the upper end of the bank’s typical range required careful assessment. However, the asset quality, planning position and the borrower’s track record of similar schemes supported the application.
“This case displayed a high level of experience across all parties,” said Richard Winston, lending manager at Recognise Bank (pictured). “The borrower had a clear grasp of both the asset and the local market, and James and the team at Portway Finance set out the requirements clearly from the outset, allowing the transaction to progress in a controlled and structured way.”
Timing proved critical. To meet the refinance deadline, the bank accepted a re-typed recent valuation report and used title indemnity insurance, allowing the transaction to complete within the required timeframe. Scottish solicitors were instructed, reflecting the bank’s experience with lending in Scotland.
“Timing was the main pressure point, but by taking a considered view on valuation and title, and by maintaining close oversight of the detail throughout, we were able to complete the refinance within the required window and move the scheme into its next phase,” Winston added.
Richard Winston and Sasha Holland, lending operations manager, completed the deal at Recognise Bank.
The transaction follows the bank’s January announcement of a £556,000 residential bridging loan for an investment property renovation in central London, which also released capital to support the borrowers’ trading business.
Recognise Bank provides flexible bridging finance for residential and commercial securities.
“The timetable on this deal was tight, and the location and the LTV meant it needed a lender with the right appetite and experience,” said James Williams, finance broker at Portway Finance. “The team at Recognise Bank were clear, responsive and pragmatic throughout, which made the difference in getting this deal over the line.”
Please visit:
Our Sponsor
