StreamBank has provided a £1.5 million bridging loan to an experienced property investor for the purchase of a £3 million shopping centre in Peterlee, County Durham. The 12-month facility was secured against a residential property in Ashbourne, Derbyshire, to bridge a funding gap after commercial finance covered the majority of the acquisition cost.
The loan was structured as a first legal charge over a Grade II listed property, valued at £3.75 million, leading to a loan-to-value ratio of 44%. This security property includes multiple holiday-let units, additional land, and ancillary accommodation.
Aiman Maklad, business development manager for London and the south at StreamBank, noted that the complexity of the security, including its Grade II listed status and multiple titles, did not undermine the lending proposition. The borrower's substantial equity position and strong credit profile were key factors in the approval of the facility.
This transaction highlights the ongoing use of bridging finance for experienced investors managing portfolios across residential and commercial property sectors, especially when conventional lending timescales do not align with acquisition opportunities.