The borrower was an experienced hotel operator and investor, and they were looking to purchase the Wembley site, and then obtain planning for a hotel.
The borrower had exchanged a contract to purchase a commercial building in Wembley. The current tenant for the building was HMRC, and there was 18 months remaining on their lease.
The borrower was purchasing the commercial building for £2 million, and the loan required was a gross amount of £1,283,000. The provided a gross Loan To Valuation of 65%.
The borrower was a company set up offshore in Jersey. They were seeking bridging finance because the purchase needed to complete with 14 days, in order to secure the purchase price for the property. The borrower had a number of banking relationships, however none of the banks that they had spoken to were going to be able to be able to provide the finance within 14 days.
A loan of £1.283 million was advanced to the borrower, and the purchase was completed.