Fiduciam provides bridging loan against French real estate portfolio

Fiduciam has completed a €5m (approximately £4.4m) bridging loan secured on a French real estate portfolio which includes a hotel.

The loan – granted for a two-year term – was the institutionally funded and pension-fund owned lender’s first involving French real estate. 

The UK-based lender has previously completed bridging loans in the Netherlands and Ireland. 

As a result of the subsequent bridging demand in the Netherlands, Fiduciam established an office there earlier this year.

The lender has also seen strong demand among Irish real estate professionals, farmers, manufacturing companies and entrepreneurs.

Commenting on the deal, Johan Groothaert, co-founder and CEO at Fiduciam (pictured above), said that international owners of French real estate often found it very difficult to obtain finance from local banks.

“Only a few private banks are open to these clients and they require the clients to move part of their private banking portfolio to them.

“So we have developed a genuinely innovative structure to lend against French real estate, whereby we can take security without having to take a mortgage in many cases, and our interest rates are at the same levels as in the UK.  

“By lending in this way, Fiduciam is able to save its clients from paying the stamp duty and notary fees, which can be very high in France.”  

In order to develop and expand its offering in the region, Fiduciam has hired three French case managers, all based in London.

“We are currently working on several other loans secured over real estate in France so we expect to be announcing our next completed deal again soon,” added Johan.

Dino Wyatt, an international mortgage specialist, said: “We are very pleased that Fiduciam has developed this innovative new bridging product for French real estate; it was long overdue and we have a number of clients desperate for this type of loan.

“The Fiduciam product now allows foreign investors in French property to obtain short-term finance against their French real estate at competitive bridging terms in a way that was not widely available until now.”

Earlier this month, Fiduciam lowered the interest rate on its bridging loans for residential property in the UK.


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    Nicola Newton

    Good afternoon. I'm looking to borrow £120,000 to buy a house in Wales. I have a large house in France valued at €175,000 There is no mortgage on this house. I hold the deeds. This house is at present up for sale. I would only need the loan untill this house is sold. Is this something that you could help me with?

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