[3 mins read]   There seems to have been relentless economic headwinds driving across the UK recently, from Brexit to government instability, a global pandemic to devastating wars, and inflation to a cost of living crisis. But from the chaos comes change, and often unexpected consequences.   As covid changed where we live, how we work and how we shop, Brexit impacted businesses, trade and supply chains. Both of which have made the outlook for Commercial Property pretty bright.   Why we think the CRE market is on the up: The Commercial Property market has been relatively fl ..read more

[3 mins read]   The government has made it known that they expect banks to grant mortgageAn agreement that allows a Borrower to borrow money from a Lender, by using a property as security for the Loan granted. The Lender will take a charge over the property to secure their Loan.Close payment holidays to customers. Whilst it is not mandatory for a bank to grant such a request, we’ve yet to hear of any bank suggest they won’t grant a holiday (in the right circumstances), if asked.   What is it? A payment holiday means your regular payments are suspended for an agreed period of time. The accepte ..read more

[3 mins read]   Whether you backed Boris or not, the overwhelming Conservative majority that transpired from last year’s election, was undoubtedly a good thing for the Commercial Real Estate (CRE) market. Following years of inertia, largely caused by the uncertainty of Brexit, the resulting unity within Government has provided a sense of stability that investors crave, making the outlook for Commercial PropertyAn asset, normally to be held for the long-term and to produce an income, and / or Capital Growth. Examples include; Hospitality (hotels), Retail (shops), Leisure (pubs), Student Accommo ..read more

[3 mins read]   If you’re new to bridging financeIn Real Estate a Bridge Loan is a short-term loan that is used to cover a funding need until a longer-term arrangement can be put in place. People bridge for a number of reasons; to purchase an asset quickly (perhaps at auction), to re-furbish a property (add value), to purchase a property from a receiver / foreclosure, or if a property is not yet financeable by a traditional lender (fire damage is one example). Bridging is more expensive, due to its shorter term nature, and perceived higher risk. The repayment source or Exit Strategy, is normal ..read more

[3 mins read]   In the same way the High Street shops have been sidelined by their online competitors, so too have the UK’s High Street Banks when it comes to commercial lending and the new wave of non-bank competition. According to the Cass Business School’s annual UK CRE Lending Report, for the first time last year, the biggest chunk of lending within the commercial investment market came from non-bank lendersA company or person that lends money to another.Close and non-UK banks, who claimed 55.8% of the £49.6bn market.  A huge piece of the commercial pie, and a dramatic shift for both the U ..read more

[4 mins read]   There’s a common misconception among property developersAn individual or entity that buys and improves property, or builds entirely new properties, that are typically sold at completion of the project.Close that securing development financeSpecialist funding, specifically used to fund a Development Project. Lenders predominately use a combination of LTC and LTGDV to assess how much they are willing to lend. Other factors also come into consideration; Property Type, Location, Development Experience, Profit Forecast, etc. A lender will determine the total Gross Loan they are wil ..read more

Raising a hefty depositThe net difference between the acquisition price of the property and the value of the Mortgage. It can be expressed as a monetary value, but more often as a percentage figure; e.g I can get 65% LTV Mortgage, therefore my deposit is 35%.Further Explanation is often a thorn in the side for developersAn individual or entity that buys and improves property, or builds entirely new properties, that are typically sold at completion of the project.Further Explanation, whose equityThe difference between the debt and the asset value; the part that the Borrower actually owns. The e ..read more

The number of bridging lendersA company or person that lends money to another.Further Explanation has increased substantially over the last five years, making Bridging LoansWhen something is borrowed by one person / entity from another. Normally it refers to money, and a rate of Interest is charged whilst the debt remains outstanding.Further Explanation up to around £2m more accessible, and propelling bridging financeIn Real Estate a Bridge Loan is a short-term loan that is used to cover a funding need until a longer-term arrangement can be put in place. People bridge for a number of reasons ..read more

As the name suggests, Bridging LoansWhen something is borrowed by one person / entity from another. Normally it refers to money, and a rate of Interest is charged whilst the debt remains outstanding.Further Explanation are typically used to bridgeIn Real Estate a Bridge Loan is a short-term loan that is used to cover a funding need until a longer-term arrangement can be put in place. People bridge for a number of reasons; to purchase an asset quickly (perhaps at auction), to re-furbish a property (add value), to purchase a property from a receiver / foreclosure, or if a property is not yet fin ..read more

The number of bridging lendersA company or person that lends money to another.Further Explanation has increased substantially over the last five years, making Bridging LoansWhen something is borrowed by one person / entity from another. Normally it refers to money, and a rate of Interest is charged whilst the debt remains outstanding.Further Explanation up to around £2m more accessible, and propelling bridging financeIn Real Estate a Bridge Loan is a short-term loan that is used to cover a funding need until a longer-term arrangement can be put in place. People bridge for a number of reasons ..read more