ARC & CO. ADVISES ON £13.4M DEVELOPMENT LOAN FOR CRAWLEY BTR SCHEME

Mayfair-based specialist finance advisor, Arc & Co. today announced it has advised Inspired Asset Management on a £13.4m development loan.  

The development is being funded through a £13.4m senior loan from Zorin Finance. 

Commenting, John Kerrigan, Director at Arc & Co., said: “The funding of this residential development is welcome news in a difficult market. It proves that there is still funding available for well-located, well-designed schemes, which are sensibly priced and supported by a good calibre sponsor.”

The former office and retail building will be demolished to make way for 78 new one and two bedroom apartments for rent with a communal rooftop terrace and 7,998 square foot of ground floor retail. It is a 14-month build programme with practical completion anticipated for Q1 2020.  

Inspired Asset Management purchased the building in 2015 and obtained planning permission for the scheme in 2016. The development has an estimated GDV of £21m and is expected to generate circa £1.75m gross rental income per annum.  

With a population in excess of 105,000, Crawley is a thriving commuter town with trains to Gatwick Airport in just 9 minutes and London Victoria in 42 minutes. A substantial growth programme is underway with £31.4m being invested in infrastructure improvements and physical regeneration designed to support new homes, business investment and employment. 

Martin Skinner, Chief Executive of Inspired Asset Management, said: “I’m delighted to announce that we have secured development finance for this exciting scheme, Inspired’s first wholly new-build development, and we can now look forward to adding another asset to our emerging Build to Rent portfolio. Crawley offers fast trains to London as well as being a local employment hub just 4.5 miles from Gatwick Airport. There is strong rental demand, especially for high quality new homes located in the town centre.”

If you you would like to speak to John regarding development finance please find his contact details below.

John Kerrigan
Director
Arc & Co. Structured Finance

Tel: +44 (0) 203 205 2124
Mobile: +44 (0) 750 822 5678
Email: john@arcandco.com

Arc & Co. helps ex-pat client secure 200 year old Edinburgh property despite challenging circumstances

Clients often arrive at the door of Arc & Co. having been let down elsewhere first. This was the case for a recent client who was trying to purchase a 200 year old property in Edinburgh, Scotland in time for their children returning to university. With the clock ticking, Matthew Wheeler, a financial consultant at Arc & Co., took up the challenge of securing finance for the property and to leave another client more than impressed.

Matthew, gives an overview of the situation and why it presented a challenge. “The client came to us having been let down by a lender elsewhere so was understandably nervous about losing the property he had made a generous offer on. Also, things are always made more challenging when transacting in Scotland where mortgage offers have to be produced before an offer on a property can be accepted.  This made for tight timescales and with a more vanilla case we would have focused on lenders that could move the quickest but instead focused on those who we knew would understand the complex financial situation of the client. Because the client was an ex-pat and paid in dollars, we had to work closely with the lender to make sure they were comfortable with his overall financial position and their long-term financial plans. The client was delighted with the rate the lender offered and security the fixed rate provided. We managed to have the conditional offer issued within 3 weeks of applying and the final offer shortly after in time for their children to move in before starting back at school and university.”

Summary 

• Client:  Couple both UK ex pats resident in America for over 5 years. Buying a UK property for them and their children to use while they are attending UK schools and University.

• Property: Purchase in Edinburgh of 200-year-old property, 5 bedrooms over 3 floors.

• Value:  Purchase price of £731,250 (£56,250 over value because of the market in Edinburgh being very competitive).

• Vendor: – Private couple

• Lender – HSBC 1.69% 3-year fixed rate

• Loan amount - £506,250

Matthew Wheeler
Financial Consultant
Tel: +44 (0) 203 205 2190
Mob: +44 (0) 771 198 9870
Email: matthew.wheeler@arcandco.com

Arc & Co. Advise on £7.4m Purchase in Kensington

Eugene Tripuk, Head of Russia and CIS desk at Arc & Co. has closed a £4.8m loan on behalf of a Russian client.

Eugene explains "The finance was for a residential property purchase in Kensington for a Russian client with a rubble income deriving from assets in Russia. The main achievement is that we managed to secure a straightforward mortgage from a private bank at a very competitive rate, and we did so, without the requirement to have assets under management. Considering the market is more cautious of Russian clients at the moment, to achieve something like this, is a great result!"  See below for the details:

Deal description: Purchase of property in central London, for a Russian national with Russian Rubble denominated income. No AUM
Location: Kensington, London
Property Value: GBP £7.4m
LTV: 65
Loan: GBP £4.8m
Rate: 1.85%
Term: 5
Client Nationality: Russian

Arc & Co. - Development Finance Broker of the Year

Last night in the presence of more than 700 industry professionals from leading financial institutions and trade bodies at the prestigious Royal Lancaster London hotel, the winners of the 2018 Business Moneyfacts Awards were announced.

For the second year in a row, Arc & Co. Structured Finance were presented with the Development Finance Broker of the Year award by the evening’s host, Claudia Winkleman.  Thanks to diligent research by Moneyfacts experts, companies and brokers who won, or received highly commended or commended trophies, are considered to be truly the best in class.

Each eligible organisation was scrutinised so that only those who throughout the last 12 months have consistently offered the most competitive products, the highest service levels and shown the greatest innovation in the business and commercial finance world were deemed worthy of the various trophies available.

Lee Tillcock, editor of Business Moneyfacts, said: "Another year of political uncertainty has not stopped the continuing revival in the development finance sector. The last 12 months has proven to be more profitable for many developers and as the appetite for funding grows, brokers and providers have embraced the opportunity to boost trading and growth levels.

Andrew Robinson, Chairman of Arc & Co. said: “it’s an absolute privilege to have won this award for a second year straight.  It reflects the effort, professionalism and hard work of the team over the past 12 months and we hope to be back next year with another strong submission”

Arc & Co. sponsor the first Private Client Dining event of the year

Private wealth industry professionals from London and other major financial centres are set to gather at a prestigious event hosted by the Private Client Dining (PCD) Club at The Churchill hotel in London on March 8, 2018.

PCD Club describes itself as the premier business networking club for international private wealth professionals around the globe, and its members include recognized industry-leading figures from the legal, banking, investment management, property and finance sectors.

Professionals in London, who advise high net worth individuals, have been invited to attend PCD Club’s dinner in the city on March 8th.  The event will be attended by professionals including lawyers, accountants, trustees, property advisors, investment managers and private bankers who advise private clients on wealth planning, trusts, retirement planning, tax, succession, investment and other key issues.

David Bell, founder of PCD Club, said: “We are delighted to be back in London next month – our London dinners are always a sell-out and we are expecting over 120 professionals at our first event in the capital this year. This event will be a great opportunity for members to make new connections and to expand their professional network and referral sources on an international basis.”

Andrew Robinson, CEO of Arc & Co, added: “Arc & Co is delighted to sponsor the first PCD Club dinner of the year. We have had a long association with the network and have derived business benefit from our membership over this period of time. Sponsorship enables us to amplify our message to a large audience of professionals in a very targeted and efficient way.”