A client came to us looking for a Commercial Investor Mortgage. They wanted to raise finance against an unencumbered commercial property where he had just agreed a 10-year lease with a tenant who intended to operate the property as a restaurant. Commercial lenders have tightened criteria due to the pandemic, as it’s been tough for many businesses to remain open during lockdowns, none more so than in the hospitality industry. With this in mind, our client had granted the tenant an initial six-month rent-free period.
We, therefore, needed to put together a strong case for our clients, highlighting his successful track record as a property investor and evidencing his ability to service the debt whilst not in receipt of any rental income, in order to convince a risk-alert commercial lender to take the case.
By using a reputable challenger bank and liaising directly with the underwriters we secured our client a 10-year interest-only mortgage of £200,000 with the transaction completing within 8 weeks. The client was very happy with the outcome and has now begun converting the property into a restaurant.
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