£8.7M Bridging Loan for Business Helps Company Secure New Headquarters

• Client: Established UK business
• Challenge: Secure new operational premises without waiting for the sale of the existing headquarters
• Loan Amount: £8.7M

The Challenge

The business identified a larger commercial property that would provide additional space for its expanding operations.

The new premises met the company's long-term requirements, but the business already owned its existing headquarters and intended to sell it to release capital.

The timing of the two transactions did not align. Waiting to sell the existing property could have meant losing the opportunity to acquire the new premises.

The Bridging Solution

Global Bridging Finance arranged an £8.7M bridging loan for the business, secured against the new headquarters alongside the existing commercial property.

The lender assessed the values of both properties, existing borrowing, the company's financial position and the proposed repayment strategy.

The facility provided the business with the capital required to complete the acquisition while allowing the sale of the existing premises to continue separately.

The Exit Strategy

The primary exit was the sale of the company's existing headquarters, with the proceeds intended to repay the bridging facility.

A secondary exit involved refinancing the new premises onto longer-term commercial finance once the business had completed its move.

The Outcome

The bridging loan for business allowed the company to secure its new headquarters without waiting for the existing premises to be sold.

The case demonstrates how business bridging finance can help manage the timing gap between acquiring new commercial premises and releasing capital from an existing property.