Borrowers can earn discounts of up to half the exit fee by meeting ESG criteria
Short-term lender TAB has launched its first commercial mortgage product, which prioritises sustainability and has built-in strong ESG criteria.
Aiming to reward those who make improvements to the energy efficiency of their property, TAB has offered borrowers discounts of up to 1.25% off an exit fee of 2.5% by meeting ESG criteria.
Discounts of up to 0.75% will be given to those who improve the energy performance certificate (EPC) rating of their property, while a 0.25% off will be offered for a sustainability action such as installation of EV charging, efficient waste management, and using green materials. An additional 0.25% discount will be awarded for social outcomes tied to UN Sustainable Development Goals, such as when the property is leased to social enterprises, charities, or adult learning.
TAB’s mortgage product offers property investors interest-only loans from £250,000 to £2.5 million and terms from three to 10 years. Borrowers can access loans with a loan-to-value of up to 65%.
The wait is over: TAB Mortgage is live!
— TAB (@tabldn) September 13, 2023
TAB not only offers bridging an development loans but also commercial mortgages.
- LTV up to 65%
- Terms up to ten years
- Rates 4.99% pa above base rate
- Commercial mortgages at the speed of bridging
- Positive sustainable lending pic.twitter.com/jU3bQON0Ou
“This commercial mortgage represents the natural next step for our business,” stated Duncan Kreeger (pictured), chief executive and founder of TAB. “We are thrilled to introduce our mortgage product, further building on the trust we have established with our customers and can continue serving property investors beyond their short-term needs.
“The TAB Mortgage offers personalised commercial mortgages at the speed of bridging. It was important to us not to create just another commercial mortgage. Buildings endure long after we do, so it’s essential that our mortgage product not only encourages our customers to make environmental improvements but also prioritises sustainability and well-being.
“This product rewards those who want to make positive change and provides tangible discounts, which we hope will contribute to the future-proofing of buildings, enhancing our communities and environment. At TAB, we are committed to playing our part in a more sustainable future.”
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