Black & White Bridging has completed a £244,000 funding package combining commercial and residential bridging finance to support the acquisition of a historic village pub in Norfolk.
The facility enabled a husband-and-wife team to purchase a Grade II listed pub in Swanton Morley, with plans to undertake minor refurbishment works before reopening the premises.
Dating back to as early as 1610, the property will also provide an opportunity to generate additional rental income, with the new owners intending to let accommodation on its upper floors to third parties.
The funding was structured around a first-charge commercial bridging loan secured against the pub and a second-charge residential bridging loan secured against an additional property.
By taking security over both assets, Black & White Bridging was able to provide the additional capital needed to complete the acquisition, overcoming a funding shortfall that could not be addressed through the commercial property alone.
The case was introduced by broker Aaron Blackwell and arranged through Matt Yates, relationship director at Black & White Bridging.
SUPPORTING THE LOCAL HOSPITALITY SECTOR
The transaction comes against a challenging backdrop for the pub sector, with operators facing continued pressure from rising costs and closures.
Yates said: “Pubs face many challenges in today’s economy with rising costs – as things stand Britain loses one pub per day and it’s estimated that 5,000 jobs will be lost this year as a result of the closures.
“We’re proud to be supporting businesses that are working hard to keep industries buoyant, and in this case, providing proper specialist funding for a lovely country pub in Swanton Morley.”
Blackwell said: “Businesses need lenders who are prepared to back them, and that’s exactly what Black & White have done with this facility.
“The specialist nature of the structure has enabled flexibility for the borrowers, and it’s pleasing to be able to help get this pub back to its former glory, it’s a fantastic historical pub and a real part of the local community.”
