Securing high leverage funding
Bircroft was appointed to secure relatively high leverage funding for a vacant City office building. The asset strategy was a full strip out and repositioning of the asset ready for re-let and sale. The borrower was latterly successful in getting planning consent for an additional floor and roof terrace that also needed funding. Completion of the purchase was unfortunately timed one month after the shock Brexit result!!
Despite the Brexit drama and impacted values, Bircroft was able to secure the funding to complete the purchase and 100% to fund the refurbishment. We were then also able to re-approach the lender to fund the costs of an additional floor and roof terrace following the successful planning gain. The facility also carried a pre-agreed 3yr investment loan period at planning consent to allow time to choose the right moment to sell.
- Securing funding and completing purchase after Brexit vote volatility
- Additional funding of costs for additional floors
- Long-term agreed loan period