A commercial bridging loan is a short-term, property-backed finance solution used to purchase, refinance, or release equity from commercial or mixed-use property. Unlike regulated bridging loans, these facilities are unregulated by the FCA and are tailored for businesses, landlords, and investors.
In London, commercial bridging loans are often used to seize time-sensitive opportunities, such as acquiring office buildings, retail units, warehouses, or development sites.
Commercial bridging finance is particularly effective in the following scenarios:
Auction Purchases – Securing a commercial building under 28-day completion deadlines.
Refinancing – Paying off existing debt while longer-term finance is arranged.
Development Sites – Bridging the gap between land acquisition and development funding.
Business Expansion – Acquiring premises for company growth.
Portfolio Investment – Securing multiple assets quickly in London’s competitive market.
Fraser Bond advises investors, landlords, and developers on when commercial bridging is appropriate and how to structure repayment.
Loan Terms – Typically 3 to 24 months.
Rates – Usually 0.5% to 1.5% per month, depending on loan-to-value (LTV), property type, and borrower profile.
LTV Ratios – Up to 70–75% for prime London assets, lower for riskier properties.
Security – Commercial or mixed-use property, sometimes with additional assets.
Exit Strategies – Commonly via long-term commercial mortgage, development finance, or property sale.
Fast Access to Capital – Funds released within days.
Flexibility – Suited for a wide range of commercial and investment assets.
Opportunity Capture – Enables investors to move quickly on London properties.
Higher Costs – More expensive than conventional commercial loans.
Exit Risk – Repayment depends on successful refinancing or sale.
Valuation Sensitivity – Market fluctuations can affect available loan size.
At Fraser Bond, we provide strategic support to buyers and investors requiring commercial bridging finance in London:
Lender Access – Introducing clients to trusted commercial bridging loan providers.
Application Structuring – Preparing documents and financials to maximise approval speed.
Rate & Fee Benchmarking – Comparing offers to secure competitive terms.
Exit Strategy Planning – Ensuring refinancing or sales are achievable and compliant.
Investor Advisory – Aligning bridging finance with long-term portfolio strategy.
By leveraging Fraser Bond’s advisory, clients gain confidence in securing funding from the right commercial bridging lenders for London property opportunities.
Visit FraserBond.com to explore commercial bridging finance tailored to your needs.
