Mortgages for Business said the client was an experienced investor who purchased at auction a freehold property in High Holborn, London, which consisted of a convenience store with four self-contained flats above.
The investor then sold the shop on a long lease which cleared the bridging finance that was used to make the initial purchase. The remaining unencumbered flats were valued at £1.2m and brought in a gross monthly rent of £5,800.
The client was then able to raise a further £660,000 with WLB to reduce cashflow and make additional property investment purchases. Mortgages for Business stated that finance was arranged at a rate of 3.7% over LIBOR for three years on an interest only bases with a lender fee of 1.95%.
Steve Olejnik, head of sales at Mortgages for Business, said: “WLB’s expertise and efficiency completed the deal in just 21 working days. It is refreshing to be working with professionals that have an appetite to lend and deliver an excellent service. The legal process in particular was second to none.”
Stephen Johnson, new business director at WLB, added: “It is great to have made such a fast start, although we have only just begun our journey and are committed to delivering a level of service that will provide our partners with a competitive advantage in the market.
“We are grateful for the support we have received from our partners and will continue to work with them to achieve the right blend of volume and quality.
“Certainly the first client Mortgages for Business brought to the table fits our profile perfectly. As most commercial banks continue their move away from property based lending to relationship only funding, we are proud to be swimming against this tide and providing credit to good quality owner occupied businesses and property investors.”
