What was the scenario?
The client owns multiple established hotels in London that needed immediate modernization through light refurbishment, extensions following PDR rules, and the consolidation of COVID-related business debt, all within a tight timeframe. These actions were necessary to satisfy specific creditors, meet audit requirements, and accommodate wedding bookings.
What was the issue?
The accounts were facing challenges due to the impact of COVID-19, causing cash flow issues. Monthly debt payments were putting significant strain on him, leading to constraints on meeting obligations and scaling back activities. Urgent funds were required, compounded by his frequent travel between the UK and Asia.
What was FinSpace’s solution?
We offered the client a second-charge bridge loan that helped consolidate business debt into manageable monthly payments. This enabled him to carry out necessary modernization and complete essential hotel projects, ensuring his commitment to maintaining high standards. As a result, he has solidified his reputation as a prominent London hotelier.
The bridge loan provided a 12 month timeframe, strategically aligning with the project’s needs. It also facilitated refinancing for some of the hotels, optimising equity release for a more lucrative long-term solution.
How can FinSpace help?
Want to know more about specialist property finance for a bespoke purchase? Our team of experts is here to help you find a solution, no matter what your situation is. FinSpace’s consultants have vast experience in finding bespoke solutions for securing funds.
In partnership with our network of trusted lenders, we can arrange bespoke arrangements to suit your circumstances at competitive rates. Contact us today for an initial consultation.
