Our client was purchasing an office building in the West Midlands which had prior approval granted to be converted to 21 1-bed flats. The purchase price for the freehold title was £400K + VAT with conversion works estimated at £750K plus professional fees of £25k. We arranged finance for 60% towards the purchase price plus 100% of the works on a staged payments basis and 100% of the professional fees. Our presentation of the client’s strong track record enabled us to agree favourable terms including an interest rate of 7%pa over the 18-month facility. The client’s intended exit is to sell all units with a plan in place to sell a proportion of these off-plan during the conversion works.
