Specialist lender London Credit has brought out commercial bridging loans featuring serviced interest up to 65% loan to value (LTV).
The product aims to give brokers more flexibility when structuring commercial property transactions, especially where borrowers want to manage interest payments monthly.
The deal allows them to make monthly interest payments throughout the loan term as opposed to rolling up interest or having it deducted upfront. This reduces overall borrowing costs and maximises day-one capital.
The serviced interest option can be used in its commercial bridging range, with loans from £150,000 to £4m with terms from three to 24 months.
It can be used for acquisitions, refinance, capital raising and time-sensitive opportunities across a range of commercial asset types.
Marios Theophanous, credit manager at London Credit, said: “Commercial deals often require a more tailored approach. By introducing serviced interest, we’re giving brokers another way to structure funding around their client’s cash flow and exit strategy.
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“As always, product innovation only works if it’s backed by certainty. Brokers and borrowers need clear terms, consistent underwriting and funding that completes when we say it will. This launch strengthens our commercial proposition while staying true to the service-led approach that defines London Credit.”
Earlier this week, the firm reduced rates across its residential bridging range.
