CapitalRise provides GBP6.4m bridging loan for prime Belgravia residential acquisition
Leading prime property finance platform CapitalRise has provide finance to fund a GBP6.4 million bridging loan for the acquisition of a luxury residential freehold property in Wilton Place, Belgravia, London.
The Wilton Place property is an outstanding Grade II listed Belgravia townhouse – an exclusive single residential dwelling. Prime property specialist developer Old House Group has acquired the property which has planning to convert the existing lower ground and ground-floor dental surgery to residential use, and to entirely renovate and refurbish the lower ground/basement and upper-floors into a single residential property, which will include five bedrooms, a gym, and a study. Old House Group is seeking revised planning approval to include an atrium and to increase the basement area.
CapitalRise has provided a very strong security-backed senior debt bridge loan to Old House Group, as it continues to structure innovative, bespoke solutions to meet demand from prime property developers for value added financing solutions.
The first six months of 2021 have been a time of significant growth for the CapitalRise property finance platform. The 2020 financial year was one of significant growth, during which CapitalRise screened over GBP5.4 billion in loan applications and funded multi-million pound loans for prime property assets worth almost GBP120 million GDV. Locations include Kensington Park Gardens, Chelsea and Holborn.
The Prime Central London property market has proven especially resilient over the past 12 months and latest figures confirm that this sector of the market has grown by 0.5 per cent in the three months to June 2021, which is the largest quarterly rise since August 2015. Coupled with the return of international buyers, indicators suggest that London prime property prices will continue to increase in the coming months and years.
Nasser Alanizy, Founder and Director at Old House Group, says: "Working with CapitalRise on our latest acquisition at Wilton Place was a pleasure. We understood that for our prime Belgravia property, we needed a lender who had the understanding of and expertise in the prime property market. In addition, a lender willing to work with us to create a bespoke solution that met our particular funding needs.
“Thanks to Lyndon and his team, CapitalRise’s innovative approach has delivered as required. We look forward to working with them again in the future."
Lyndon Miles, Lending Director at CapitalRise, says: “CapitalRise’s loan is assisting to fund the acquisition of the freehold of the property, which is unusual in this location. The borrower has existing planning approval to improve the property and increase its value by over 60 per cent according to the valuation report provided by Savills. It will seek enhanced planning approval to further increase value during the term of CapitalRise’s loan. By adopting an innovative and solution-oriented approach, we were able to provide this additional leverage via additional first charge security over property owned within the borrower’s Group.”