We were recently involved in a sizable portfolio transaction which involved the largest, and most complex, loan to date for Octane Capital – a £17.35m 5-year buy-to-let facility provided to a London-based landlord company.
PURPOSE OF THE REFINANCE
The Landlord was looking for a solution to their complex portfolio transaction after being let down by two previous lenders. The Property team at Phillips Lewis Smith, headed by Mahak Mohsin and assisted by Holly Jeffrey, were tasked to deduce title on 18 properties and arrange complex indemnity underwriting for a further 32 properties, comprising over 160 units, to cover all aspects required under the refinance terms.
Meticulous attention was paid to planning permissions, Houses of Multiple Occupation licenses and building regulations for the property portfolio to ensure both the company client and lender’s positions were covered.
The team also arranged redemption of up to 40 mortgages in one day totalling over £16.7m.
With regard to post-completion work, all transfer requirements for the 40 separate titles were undertaken such as various Licenses to Assign, Deeds of Covenant and Notice of Transfer and Charges to all landlords for leasehold properties.
A tight deadline was expected to be met and through the cooperation of both parties and the services carried out by their representing legal teams, the transaction was able to complete in under six weeks from the instruction of lawyers.
POSITION AFTER THE REFINANCE
The 5-year loan was made at 4.99% with 1% interest deferred.
The Landlord made the following comments about Phillips Lewis Smith’s service:
“Thank you to Phillip Lewis Smith for being so professional in your work and very helpful throughout the process. Excellent service even during the pandemic and I really appreciate all the hard work they had put in my case since day 1. I would recommend to them anyone.”
Alex Tyrwhitt, Head of Structured Finance, Octane Capital, concluded:
“It’s always pleasing to complete a transaction of this complexity ahead of the client’s expectations. The broker, Liubov, worked tirelessly with the borrower from the offset to ensure we had all the necessary information to move quickly. PTL Estates are a professionally run, family-owned business and a pleasure to work with. Lawyers on both sides of the transaction were fantastic.”
OUR COMMERCIAL FINANCIAL SERVICES
At Phillips Lewis Smith we draw on legal expertise, experience and industry knowledge acquired over many years, to advise our clients in relation to all forms of transactional activity, advisory and contentious matters. We work with our clients to deliver commercially astute solutions across most aspects of financial services law.