Allica Bank

Allica to lend extra £50m in owner-occupied commercial mortgages with reduced rate

Allica Bank has announced today (28th June) it has committed to lend an additional £50m in owner-occupied commercial mortgages at a limited edition reduced rate.

The eight-week promotion sees the rate cut to 3.5% and has been designed to help brokers’ clients access the finance they need to achieve growth.

The lender will offer loans between £150,000 and £5m, up to 60% LTV, and where the debt service coverage ratio is more than 2.0x. 

“As our broker partners know, established SMEs seeking owner-occupied commercial mortgages have been traditionally underserved by banks and, with the opportunity for growth and recovery at a high, it is the ideal time to be offering this additional support,” said Nick Baker, managing director of intermediaries at Allica Bank (pictured above).

“We’re reducing our rate to 3.5% so that as many businesses as possible that are looking for owner-occupied commercial mortgages can benefit.

“It’s the kind of rate generally only offered by high-street banks,” he added.

In May, the bank increased its maximum commercial mortgage loan size from £3m to £5m and expanded its broker distribution team with three new BDMs.

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