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Featured Image

£15.3mn

Loan Amount

75%

LTGDV

Maximising client returns

THE CHALLENGE

Our client agreed to purchase an office building for £9m with a consent for residential conversion. During the purchase due diligence process, the developer secured consent for an additional floor to accommodate two penthouses within the existing development. Due to the significant value uplift, the client wanted to maximise gearing to reduce equity in the deal as much as possible without having to share any profit or upside.

THE SOLUTION

At Bircroft, we managed to introduce mezzanine finance to sit behind the senior debt to maximise the client’s returns and minimise equity into the deal without having to share any profit.

KEY WINS

  • Maximising returns whilst minimising equity
  • Increased value from investment

CLIENT TESTIMONIAL

Bircroft was built with a long-term perspective of the direct lending market. We believe that to be successful, we must go beyond originating attractive investments. We must also provide investors with the transparency, service and flexibility of an in-house investment team.

Allan Davies

CEO, Rockcap Inc