A £2.475 million Bridge-to-Let facility has been secured by specialist bridging lender Aspen for the acquisition of a luxurious four-bedroom penthouse in Kensington and Chelsea. The significant transaction marks the lender's second high-value deal in prime central London within just one week, underscoring continued activity in the capital's luxury property market.
The prestige penthouse, spanning over 3,000 square feet, was secured at auction by a foreign national investing through a Spanish-registered corporate entity. The new owner intends to retain the property as a long-term investment within the private rental sector, despite concerns about the wider UK economy and changes in mortgage rates.
The financing for this deal includes flexibility for the investor to transition to a serviced buy-to-let period at an annual rate of 6.89% over two years, utilising the same documentation. This approach caters to investors seeking short-term acquisition finance with a clear pathway to long-term rental income.
This transaction follows closely on the heels of another substantial deal by Aspen: a £1.9 million Bridge-to-Let facility for a Mayfair apartment, also secured for an overseas investor operating via a Singapore corporate structure. Both deals highlight a recurring trend of international investors channelling funds into high-value residential properties in London.
Richard Tweddell, underwriting manager at Aspen, stressed the need for speed and certainty in auction purchases, citing the client's fixed timeline following a successful bid. Despite broader market caution, these completions demonstrate a robust appetite from international investors for London's prime property assets.