Property Finance 2015

Property Finance 2015

Property financeWhether you’re looking to fund your next project or need trusted advice with refinancing or restructuring, our property finance experts can help.

Applying for finance can be time consuming and complicated

and it can be difficult to find a deal that is right for you. Our

knowledge and expertise can secure optimal terms and save

you money and considerable time, leaving you to concentrate

on running your business.

We originate property finance, bringing together the lenders

and connecting them to those who require capital. We do

this by listening to you to understand your requirements and

financial needs.

For many borrowers, pricing can be an important factor, but it

is not the only consideration. Timing, amortisation profile, term

of borrowing, budgeting and the forecasting and treatment of

taxation can also be important. By understanding your specific

requirements we can help secure the funding that is right for you.

How can we help you?

• We can arrange finance for a wide range of property

investment and development opportunities and for

equity partners.

• We specialise in assisting with complex situations, where

a mixture of different types of debt is required – we

can arrange senior debt, mezzanine debt, bridging and

development finance.

• We help when you’re stuck, and have an issue you are

struggling to resolve.

• Where there is time pressure to exchange or the bank is not

renewing your facilities.

What type of finance can we provide?

• Investment/Portfolio finance

• Development funding

– Senior

– Stretch-Senior

– Mezzanine

– Equity

– Refinance

• Short term lending (bridging)

• Unconditional purchases (sites with no planning)

• Refinancing

Lambert Smith Hampton

Stretch Senior Debt Finance

£12.07mLondon Property Finance

Brief: Raised stretch-senior development funding on a permitted development for office to residential conversion.

Opportunity beyond the brief: Through funding this development LSH will have the opportunity to market the residential block post completion.

Result: LSH raised 87% of total development costs at 11% in under 4 weeks to meet the completion date.

Added value: With “permitted development” deadline nearing LSH managed to secure competitive terms to enable the client to complete the transactions.

Stretch Senior Development funding for site in Dorking

Property Finance 2015

Lambert Smith Hampton

Equity Value

£3.7m London Property Finance

Brief: Acquire an equity partner to help fund the planning gain and then stay in through the development.

Opportunity beyond the brief: Once planning was achieved client sought out our advice regarding future funding for alternative development sites.

Result: Client was looking to invest only 10% of total costs, we reduced that requirement to only 4%.

Added value: By raising equity, client was able to put funds towards multiple projects. JV signed within 48 hours and loan drawn within 1 day of completion.

Equity partner found for luxury NW London development site

Bridging Finance

£2.5m100% funding

Brief: Raise 100% finance across multiple assets to enable client to borrow all purchase and refurbishment costs.

Opportunity beyond the brief: Property Finance used its intimate knowledge of the Bridging Market to allow two separate Lenders to collaborate across 4 assets at market leading rates.

Result: Client raised all finance required without investing a single penny!

Added value: Both lenders compromised to keep to a single interest rate for this project, not openly available to the market.

Cross-collateralised bridging loan in Marylebone

London Property Finance

Stretch Development Loan

£6.825m81% of costs

London Property Finance

Brief: Raised stretch-senior development funding for a development site with planning in Fulham.

Opportunity beyond the brief: Client has many development sites in pipeline and our advice has subsequently led to multiple instructions.

Result: LSH raised 81% of total development costs at 6% over base in under 3 weeks to meet the completion date with a day to spare.

Added value: Advice enabled a 3% reduction in annual interest rate. Due to LSH knowledge of the market, the lender has a ground rent fund which allowed the client to leverage higher on day 1 upon sale of the ground rents to the fund.

Stretch-Senior Development funding for site in Fulham

Brief: Refinance cross-collaterlised residential assets out of a bank that miss-sold our client a swap and therefore agreed to a reduction of debt, as long as refinance deadline was met.

Opportunity beyond the brief: Build on the relationship that the team had introduced between the client and the bank last year which allowed the client to maximise their leverage.

Result: Client managed to refinance and finally sever ties with existing bank.

Added value: Not only did LSH refinance, but we enabled the client to distance themselves from a toxic relationship with the previous bank.

Cross-Collaterlised Residential Portfolio Refinance

Senior DebtFinance

£2.7mLondon Property Finance

Details of Lambert Smith Hampton can be viewed on our website www.lsh.co.ukDue to space constraints within the report, it has not been possible to include both imperial and metric measurements.

© Lambert Smith Hampton July 2015.

This document is for general informative purposes only. The information in it is believed to be correct, but no express or implied representation or warranty is made by Lambert Smith Hampton as to its accuracy or completeness, and the opinions in it constitute our judgement as of this date but are subject to change. Reliance should not be placed upon the information, forecasts and opinions set out herein for the purpose of any particular transaction, and no responsibility or liability, whether in negligence or otherwise, is accepted by Lambert Smith Hampton or by any of its directors, officers, employees, agents or representatives for any direct, indirect or consequential loss or damage which may result from any such reliance or other use thereof.

All rights reserved. No part of this publication may be transmitted or reproduced in any material form by any means, electronic, recording, mechanical, photocopying or otherwise, or stored in any information storage or retrieval system of any nature, without the prior written permission of the copyright holder, except in accordance with the provisions of the Copyright Designs and Patents Act 1988.

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For further information please contact:

Nicholas Russell Rafi Kon Raphael TenenbaumHead of Property Finance Property Finance – Associate Property Finance – Associate

+44 (0)20 7198 2247 +44 (0)20 7198 2224 +44 (0)20 7198 2241nrussell@lsh.co.uk rkon@lsh.co.uk rtenenbaum@lsh.co.uk

Our national office networkBelfast Tel: +44 (0)28 9032 7954

Birmingham Tel: +44 (0)121 236 2066

Bristol Tel: +44 (0)117 926 6666 Tel: +44 (0)117 927 3454

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About usWe are a commercial property consultancy working with investors, developers and occupiers

in both the public and private sectors across the UK and Ireland.

Amazon to Zurich: we have partnerships with the complete A to Z of the best organisations

in Britain and Ireland.

Transport to telecoms: we have experience of an extremely wide range of sectors.

Capital markets to construction consultancy: we serve an incredibly diverse range of commercial

property disciplines.

We value lateral thinking and celebrate enterprise, with a focus on delivering more for our clients.

By looking beyond the obvious, we consistently generate impressive results.