FD Commercial has completed a regulated bridging loan at 70% net loan-to-value within three weeks, supporting the purchase of a £1.1m property in Reading.
The facility, funded by Precise, allowed the client to meet a standard 28-day auction deadline on a property intended as their main residence. The asset required light refurbishment, placing it outside the criteria for a conventional residential mortgage at the point of purchase.
With time constraints limiting funding options, the borrower required a lender able to provide certainty of funds alongside a willingness to support a regulated bridge on a property not yet suitable for mainstream lending. The loan was structured at 70% net LTV, with Lightfoots acting for both borrower and lender.
The agreed exit strategy is a residential mortgage, to be put in place once refurbishment works have been completed.
DELIVERY UNDER AUCTION PRESSURE
Wes Davidson (pictured), director at FD Commercial, says: “Three weeks from application to completion on a regulated refurbishment bridge of this complexity and size is not standard, and it does not happen by accident.
“You need a lender that underwrites cleanly and a solicitor who knows what they are doing on a bridging case. Precise were excellent throughout, and having Lightfoots on the file, acting for both sides, was essential.
“There were plenty of hurdles to clear, and without first class management by all parties the deal would have run past the auction deadline.”
He adds: “Auction purchases at this level need everyone moving at the same pace.
“The client gets the home they wanted and a clear route off the bridge once the works are done.”
Alan Kimber, head of bridging at Precise, says: “This is exactly the kind of deal bridging is designed for, fast moving auction purchases where speed and certainty are non-negotiable.
“We worked closely with FD Commercial to deliver funding at pace, giving their client the confidence to move forward.
“With a clear exit strategy in place, we acted quickly and ensured completion well within the auction deadline.”
