Why expat cases need more than another criteria sheet

You can’t control every detail. You can choose the expertise behind it.

When choosing a commercial lender, the right rate and product will naturally be high on a broker’s list. But for larger or more complex transactions, there’s more that needs to be taken into consideration.

Commercial property deals can have additional layers of complexity. There can be multiple parties involved, tight deadlines, outstanding due diligence and circumstances that need to be understood in the right context. In those situations, the experience behind the finance can be just as important as the finance itself.

Having a lender that’s prepared to engage early, understand the transaction and work with the broker as the case develops can make a significant difference.

Commercial lender InterBay’s recent case involved a £25.95m bridging loan for Barclay House, a new-build development in Manchester. And it’s a perfect example of why the right lender choice matters.

Understanding the deal before underwriting it

Barclay House comprises 93 apartments alongside basement commercial space. Following practical completion of the residential element, the borrower needed to refinance away from the existing development funder.

But this wasn’t simply a case of refinancing a completed development.

Fit-out works for an incoming commercial tenant were still outstanding, as were final building regulations sign-offs. With an existing development facility requiring refinance, there was a clear need to understand the position quickly and establish what was required to get the transaction moving.

Rather than approaching the transaction solely through the information contained in the application, Peter Greig, Senior Specialist Property & High Net Worth Account Manager, and Steve Wood, Specialist Property & High Net Worth Account Manager, from InterBay’s High Net Worth and Specialist Property team became involved early. They visited the development and met with the borrower to understand the project, the circumstances behind the refinance and what still needed to be achieved.

That gave the team a much more detailed picture of the transaction from the outset.

For brokers, this kind of early engagement can be particularly valuable on larger cases. It means the lender can get to grips with the proposition before potential issues become obstacles, while the broker has a clearer understanding of what’s needed to progress the case.

It’s about more than a lending decision

Complexity in commercial lending doesn’t necessarily come from one particularly difficult element. It can come from several moving parts that need to come together at the right time.

At Barclay House, the team needed to consider the refinancing requirement alongside the outstanding works, due diligence and building regs position. There were also multiple parties involved in bringing the transaction to completion.

The early site visit and borrower meeting helped Peter and Steve gain an overview of the full picture, which could then be used to shape the requirements for credit approval.

An important factor to consider is that a lender’s value isn’t just in whether it can offer the right loan. It’s also in how well it understands the transaction behind the loan and how it works with the broker when the case has several elements to resolve.

For brokers, knowing they can have that conversation early can provide greater certainty when deciding how and where to place a case.

Bringing the right expertise into the case

Larger transactions can also benefit from access to specialist expertise beyond the core lending team.

In the Barclay House case, the High Net Worth and Specialist Property team worked alongside Underwriting, Credit and Completions, while also engaging early with the solicitors involved in the transaction. This meant the different elements of the case could be worked through collaboratively rather than in isolation.

That joined-up approach was particularly important given the outstanding due diligence and regulation considerations.

It’s an example of where having access to experienced people who understand different aspects of commercial property can add value. For brokers, the relevant expertise might not always be needed from the first conversation, but knowing it’s available when required can be an important part of choosing a lender.

InterBay’s High Net Worth and Specialist Property team provide additional support for larger and more complex transactions, bringing specialist experience into cases where the scale, structure or circumstances call for it.

The benefit isn’t simply having another team involved. It’s having people who can work alongside the broker and wider lending teams to understand what the transaction needs and help keep it moving.

Early engagement can make a difference

Commercial transactions can move quickly once the right pieces are in place. That’s why involving the lender early can be particularly valuable.

In the Barclay House case, the team had to work to a tight timeframe to refinance the existing development facility. Early engagement with the borrower, solicitors and internal teams helped establish what was required and allowed the outstanding considerations to be addressed as the case progressed.

The loan completed just over a month after the case was referred – at 75% LTV.

That doesn’t mean every commercial case will follow the same timeline. Every transaction is different, and larger or more complex cases can involve different requirements and timescales.

What it does demonstrate is the value of having a lender that’s willing to engage with the case early, understand the circumstances and work collaboratively towards a solution.

What should brokers look for in a commercial lender?

There’s no single factor that makes a lender right for every commercial case. But for brokers considering where to place a larger or more complex transaction, it’s worth looking beyond the headline rate.

Experience. A lender that regularly deals with commercial property can bring an understanding of the different situations and challenges that can arise.

Access to expertise. Larger transactions may require input from people with specialist knowledge, whether that’s around the property, the structure of the deal or the borrower’s circumstances.

Early engagement. Being able to have a conversation before an application is fully developed can help identify what’s needed and reduce uncertainty further down the line.

Collaboration. Commercial lending can involve brokers, borrowers, solicitors, valuers and multiple internal teams. A lender that can bring those conversations together can help keep everyone focused on getting the transaction completed.

Understanding. The right lender should want to understand the deal, not just assess it against a list of standard criteria.

Choosing the right lender is in your hands

For brokers working across commercial property finance, the lender they choose can influence more than the terms of the loan. It can shape how confidently they approach the case, how potential challenges are handled and how effectively everyone can work towards completion.

Particularly for those working on large, complex or less familiar transactions, choosing a commercial lender isn’t just about finding a product that fits.

It’s about choosing a partner with the experience, expertise and willingness to engage with the case from the outset.

And that’s a choice brokers can make before the case becomes difficult.

To discuss a commercial property opportunity with InterBay, brokers can start the conversation with the team early, giving them the opportunity to understand the transaction and explore how they may be able to support it. Find out more here.

INTERMEDIARIES ONLY.

This article was provided by InterBay