Key Details:
- Client Type: UK-based experienced residential portfolio landlord
- Property Value: Circa £11 million London residential portfolio
- Loan Amount: Circa £4.5 million
- Loan-to-Value (LTV): Approximately 40%
A UK-based landlord with an extensive London property portfolio sought to refinance one of their holdings, valued at around £11 million. The portfolio, held within a UK Limited Company, included approximately 45 residential properties with mortgages across multiple buy-to-let lenders. The client’s objective was to consolidate the existing facilities into a single mortgage while raising additional capital to support the purchase of a business partner’s shares in the venture.
Affordability was a key consideration. Consolidating multiple mortgages while raising additional capital had the potential to increase monthly repayment commitments. Coordinating a refinance involving approximately 45 properties, each with different existing lending arrangements, also required careful structuring to simplify the overall debt position. The client was seeking a fixed-rate structure that provided greater medium-term certainty while remaining aligned with the portfolio’s cash flow.
Enness conducted a review of the available lending options and sourced a circa £4.5 million five-year fixed-rate facility. Despite the additional capital being raised, the resulting consolidated monthly payment was slightly lower than the client’s previous combined mortgage outgoings, based on the agreed lending structure.
The facility included an arrangement fee which was added to the loan, with repayment due in accordance with the terms of the facility. The resulting structure provided the client with a single consolidated funding arrangement and greater visibility over their ongoing mortgage commitments, while also releasing capital for the proposed acquisition of the business partner’s shares.
This case demonstrates how specialist portfolio refinancing can help experienced landlords consolidate multiple lending arrangements and raise additional capital where the underlying property portfolio and wider financial circumstances support the transaction. Complex portfolio structures require careful assessment of property values, rental income, existing borrowing and lender criteria to identify an appropriate refinancing solution.
Disclaimer
This case study is for illustrative purposes only and does not constitute financial, legal, tax or investment advice. The client scenario has been anonymised and certain details have been generalised to protect confidentiality. Finance is subject to status, underwriting, property suitability, valuation, rental income and lender criteria. Loan amounts, loan-to-value ratios, pricing, lending structures and outcomes are indicative only and may vary depending on individual circumstances. Enness Global acts as a credit broker and not as a lender.
Risk Warning
Property values can fall as well as rise, and rental income is not guaranteed. Where borrowing is secured against property, failure to meet repayment obligations may result in repossession of the secured assets.
Information contained in our case studies is for market and illustrative purposes only. In some cases, these may be made up of multiple cases and are for illustrative purposes only.
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Property values can fall as well as rise, and you may not get back the amount originally invested. Property investments can be illiquid and may take time to sell. Where borrowing is used, your property may be repossessed if you do not keep up repayments on a mortgage or other loan secured against it.
