LHV Bank recently completed a loan of approximately £7m for the purchase of a substantial residential investment property.
The asset, in Surrey, was previously converted from an office building into a residential property.
The case was introduced by Alex Haffner of Fusion Funding.
The client, an experienced property investor, had negotiated a competitive price for the property, but this was predicated on a quick completion.
Working with Fusion Funding, LHV Bank used title insurance to expedite the legal process and collaborated with the previous valuation firm in order to reduce the time needed to complete the case.
LHV Bank accepted an unmortgaged property as the borrower’s security as opposed to cash, and completed the case in 36 days from credit approval.
The interest-only loan of £7m was fixed for 5-years at a loan-to-value (LTV) of 70%.
Conor McDermott (pictured), director of SME lending at LHV Bank, said: “The case demonstrates our appetite for providing large loans to experienced property developers.
“Once the relationship team led by Darren Switzer, had fully evaluated the application, we were confident that we could meet the tight timescales, combining the team’s ‘can do’ attitude with our ability to use title insurance to significantly speed up the process.
“Fusion Funding also worked diligently with the case, providing all of the necessary information and documentation in a timely fashion; it was a pleasure working with them.
“LHV Bank’s loan book is growing markedly every month, an indicator of our ambition to become a significant provider of commercial real estate investment loans and trading loans to SMEs in the UK.”
Alex Haffner, managing director of Fusion Funding, added: “I am grateful for the support and commitment shown by the Bank to this loan and our client to ensure a completion on time with a loan package that suits all parties.
“This deal showcases what can be achieved when a pro-active Bank works hand in hand with Fusion Funding and the results are there for all to see.
“The loan completion is the highest amount for the Bank and done within the fastest timescales from receipt of the credit approval.”
