Commercial finance broker Commercial Expert has completed a £500k financing deal for a new-build buy-to-let portfolio after a period of patience and diligence.
The investment in new-build apartments proved challenging because of construction delays caused by the Covid-19 pandemic and also legal issues over cladding requirements on the new apartment block.
The County Durham-based broker worked closely with Bexley Properties Ltd on the purchase of the three apartments in York.
Commercial Expert secured a 3.29% finance deal at 75% loan to value for the new company, recently set up by Adrian Barraclough and his daughter Rebecca.
Tracey Barnes of Commercial Expert Ltd who headed up the deal, said: “This proved to be a challenging project due to outside factors over which neither we nor the client had any control.
“A very competitive finance deal was all in place, but the completion took six months due to the complexities that needed to be resolved.
“As with many building projects in 2020 there were delays and setbacks due to working practices and restrictions caused by the pandemic, and there were specific challenges over cladding on the building which is a sensitive and critical area in the light of what has happened in the past.”
Tracey worked hard to reassure the client that the funding deal was secure despite uncertainty caused by the delays.
“This was a situation which needed careful handling and we just needed to be patient and keep everyone informed,” she said.
“There were several parties involved and it was our role to keep in close contact not just with the client – via phone as well as regular Zoom meetings – but also the developer, the estate agent, the fire safety officer, the lender and the solicitor.
“It was a really complex situation made all the more difficult by the background circumstances, but we just had to move our way forward one step at a time.
“What was important was keeping everyone informed so that the chain remained strong until we could complete on the deal. It was a relief for everyone, of course, but very satisfying when it all came together.”
Mr Barraclough was delighted too that his new portfolio had been secured.
“It was quite nerve-wracking at times and the delays, though nobody’s fault, made it an anxious time for all concerned,” he said.
"Rebecca and I couldn’t be more grateful to Tracey and the team at Commercial Expert for how they have handled this.
“I can’t thank them enough for the very professional yet sensitive way they supported this whole process and navigated a successful conclusion to what was a very challenging project.”
Commercial Expert is an independent commercial finance broker offering a comprehensive range of business finance to a broad spectrum of clients, each with differing financial requirements.
The firm is proud to be authorised and regulated by the Financial Conduct Authority (FCA) and a full member of the National Association of Commercial Finance Brokers (NACFB) since 2008. This ensures a robust process is adhered to throughout the application process and regulated commercial financial advice is offered.