Specialist capital advisory firm Arc & Co. has completed a £9.3m funding package for a returning investor client.
The funding comprises a £7m acquisition bridge, provided by specialist lender Octane Capital, and a £2.3m VAT loan from Adsum.
The borrower, an experienced investor with a strong business strategy, is using the bridging loan to purchase an office asset in SW London at 65% LTV.
The client intends to obtain permission for change of use.
Octane Capital funded the 18-month bridging loan at 4.56% over base (no floor) and, together with Edward Horn Smith, Managing Director at Arc & Co., completed the transaction in just four weeks.
Edward also secured a VAT loan from Adsum to cover the borrower’s VAT requirements in connection with the purchase.
Edward commented:
“It was a pleasure working with two lenders who acted so quickly and seamlessly to execute a fantastic outcome for our client.
“Octane continues to be a lender which prioritises communication and delivers solutions, which is paramount for us to be able to rely on. To complete in just four weeks is testament to excellent teamwork on all sides.
“The deal underscores the fact that office is a sector that is hugely important for us; the demand for funding to acquire, uplift, and asset manage will undoubtedly remain strong for the next 12-18 months.”
The deal was worked on at Octane Capital by Senior BDM Shrena Patel and Head of Structured Finance Alex Tyrwhitt.
Alex commented:
“Another great opportunity to work with Ed Horn-Smith at Arc & Co. on this £7m urgent bridge on a fantastic commercial acquisition—underwritten and paid out in under a month.
“Huge thanks to Ed for all his efforts throughout the process and for keeping all parties focused. Big thanks also to Seray Kitchingham, Daniel Baker and all the team at Weightmans for their usual diligence and efficiency, and to Patrick Kearon from Colliers for a quick turnaround and great responsiveness throughout.”