LHV Bank has provided a £7.01 million commercial mortgage facility to refinance the Bicester Hotel Golf & Spa in Oxfordshire.
The four-star resort comprises 52 guest bedrooms alongside an 18-hole golf course, spa, health club, restaurant, event facilities and a range of food and beverage operations.
The bank structured the facility at 70% loan-to-value over a five-year term. The loan includes an initial interest-only period before moving to capital and interest repayments on a 20-year amortisation profile.
The refinancing enabled the borrower to consolidate several existing debt facilities into a single loan structure, improving cash flow and releasing capital to support future investment plans across the site.
LHV Bank said the transaction required a detailed assessment of the business’s trading performance, financial forecasts and growth strategy due to the asset’s multiple revenue streams and long-established owner-operated model.
The deal was introduced by Paul Mak of Pomegranate Commercial Finance Limited.
Callum Livingstone, lending director at LHV Bank, says: “Hospitality assets often require lenders to look beyond a single set of accounts and understand the wider story behind the business.
“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.”
Paul Mak, director at Pomegranate Commercial Finance Limited, adds: “From the outset, LHV approached this transaction with a commercial mindset. 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.”
