OSB Group completes £25.9m refinance for Manchester mixed-use development
OSB Group has completed a £25.9m refinance for a seasoned property developer in support of Barclay House, a mixed-use scheme in Manchester.
Barclay House comprises 93 apartments and basement commercial space. Following practical completion of the residential element, the borrower required a short-term facility to refinance away from a development lender, complete fit-out works for the commercial space and establish rental income ahead of a future sale or longer-term refinance.
The case progressed from formal offer to completion in just 21 days, with funding delivered little more than a month after referral.
Given the need to repay the existing funder within a tight timeframe, OSB Group’s High Net Worth and Specialist Property Team worked closely with the borrower and advisers throughout the process. A site visit shortly after the initial enquiry helped shape requirements for credit approval and maintain momentum towards funding.
The facility was agreed at 75% LTV, reflecting the borrower’s extensive track record and the strength of the Manchester rental market.
Adrian Moloney, group lending distribution director, OSB Group said: “This was a substantial transaction with a challenging timeframe, but by engaging with the borrower at an early stage and visiting the site within days of the initial enquiry, our teams were able to build a clear understanding of both the asset and the client’s objectives. The strength of the development, the borrower’s track record and the resilience of the Manchester rental market gave us confidence in the case, allowing us to deliver a solution in just over a month from first enquiry.
Aris Shanti, partner, A&M Investment Office said: “The client needed a lender that could move quickly and take a pragmatic view of a complex refinance while parts of the scheme were still being finalised. Although this was our first transaction with OSB Group, the team engaged early, worked collaboratively with the professional advisers and maintained clear communication throughout the process. Completing a £25.9m transaction in this timeframe helped the client meet a critical deadline and move forward with their plans for the development.”