£875,000 Commercial Mortgage To Fund Business Expansion
The latest industry news and guides from Active Mortgages.
The latest industry news and guides from Active Mortgages.
Our client is a well-established company in the fire and security industry. They approached us with plans to expand their business premises by purchasing the commercial property next door to their current building. Their goal was twofold:
✔ Purchase the adjacent unit to allow for growth and additional operational capacity.
✔ Refinance their existing premises to access more funding and secure a better rate.
They were specifically looking for a mortgage with low fees and the maximum borrowing
possible.
The main complexity was coordinating both the purchase and the refinance simultaneously – a process that can often slow things down due to valuation, legal, and lender requirements. The client needed the deal structured carefully so that one element wouldn’t delay the other. There were no issues with income, credit, or property type, but timing and structuring were critical.
We recommended a five-year tracker mortgage which offered the client greater flexibility – ideal for a business that may want to refinance or repay early in the future. Thanks to our strong relationships with lender business development managers, we were able to structure a tailored solution that allowed us to:
✔ Refinance the existing premises.
✔ Raise additional funds through a new mortgage on the property next door.
✔ Keep the deal moving quickly without the two transactions blocking each other.
We secured the client a £875,000 commercial mortgage at a competitive rate with:
✔ A low arrangement fee of 0.5%, keeping upfront costs down.
✔ The flexibility of a tracker product, ideal for future refinancing.
✔ A smooth dual transaction process – purchase and refinance handled together.
The client was highly impressed with the result, particularly as no other broker had been able to secure terms as competitive. They appreciated the clarity, speed, and strategic structuring of the deal.
✔ You don’t have to choose between purchasing and refinancing – with the right advice, you can do both efficiently.
✔ Tracker products offer flexibility, especially valuable for growing businesses.
✔ Never assume the first deal you’re offered is the best – speaking to a specialist broker can open up stronger, tailored solutions.
Book a call with one of our team to talk about your requirements.
