The client, a UK-based hotelier, along with several shareholders, required the funding to refinance a former bridging loan at the end of its term, after securing planning permission.

The 12-month loan required increased legal processing and underwriting but, despite the challenges posed by the pandemic, Reim completed the loan in three weeks from the initial loan application to the drawdown of funds.

The mid-range hotel is due to start construction sometime next year, with the estimated current sale value at £6.5m.

•   
•   Reim Capital plans to fully digitalise bridging application process and double team size
•   978 Bridging completes deal for commercial conversion with no extension or default interest fees

Kunal Vaitha, principal and co-founder of Reim Capital, commented: “We are delighted to be involved in this exciting hotel development in Southall. 

“Despite the restrictions of the lockdown, our team worked closely with the lawyers, broker, surveyors and client to overcome hurdles and complete this deal as quickly as possible.”

Imran Paswal, senior associate at Howard Kennedy LLP, said: “This is our third bridging transaction acting for Reim Capital. 

“We have found Reim to be professional, transparent and diligent.
  
“They are very commercial and aware of risk, so we were able to work closely together to overcome some of [the] issues we faced with this loan.

“The two main problems we [encountered] on this transaction were the planning position and the existing occupational tenancy which needed to be surrendered and re-granted. 

“We are very much looking forward to working with Reim Capital on further projects through 2020 and beyond.”

The bridging lender is funded through a joint venture with a real estate debt fund and provides various bridging and commercial products, including residential and commercial bridging, auction finance, semi-commercial bridging, land with planning bridging, and development exit finance.