£1.8 Million Bridge to Let Loan for Property Conversion

Client: UK-Based Property Investor
Loan Type: Bridge to Let Loan
Loan Amount: Circa £1,800,000
Property Value: Circa £3,000,000
LTV: Approximately 60%
Purpose: Funding for property conversion to long-term rental

Case Overview

Global Bridging Finance was approached by an experienced UK property investor who had identified a prime opportunity to convert a large residential property into multiple rental units in a sought-after London location. The property, valued at £3 million, had excellent potential for rental income but required significant renovations to convert it into several flats.

The investor had already secured planning permission for the conversion and had a solid exit strategy, but traditional funding routes were unsuitable for the project's short-term nature. The client needed Bridge to Let finance to cover the conversion costs, with the aim of refinancing into a long-term buy-to-let mortgage once the property was fully tenanted.

The Solution

Global Bridging Finance arranged a £1.8 million Bridge to Let loan, providing the necessary capital for the conversion work. The loan was secured against the property at a 60% LTV, allowing the client to unlock the asset's value and start the project immediately.

To ensure a smooth process, we worked closely with the lender to customise the loan terms, including flexibility in repayments during the conversion period. The client was able to draw down funds in stages as renovation milestones were achieved.

Additionally, we facilitated a desktop valuation to speed up the approval process, saving valuable time. Our team also coordinated with the client’s legal and project teams to ensure everything was in place for a seamless conversion.

The Outcome

Within six months, the conversion was completed, and the property was fully tenanted. The rental income generated from the new units provided the client with a stable cash flow, enabling them to refinance the property into a long-term buy-to-let mortgage.

Thanks to the Bridge to Let loan, the client was able to capitalise on the property’s rental potential without the financial strain of using their own capital upfront. The flexible terms and quick access to funds allowed the project to progress without delay, and the investor now has a profitable asset generating consistent income.