Hodge has launched a new mixed-use finance product in a bid to support experienced commercial investors wishing to purchase residential assets that retain a commercial element.
The product will offer investors access to a facility that can assist with the purchase of a single property – or across multiple properties within a portfolio – where the residential element of comprises more than 51% of the total value.
Loans are available at a maximum of 65% LTV from £500,000 up to £10m either across a single loan or aggregate, with terms available for up to 10 years on properties located in England and Wales and Scotland.
According to Hodge, blended rates for the new mixed-use product typically start from 6.15% – individual tranche pricing is also available.
Fixed and variable rate options across a range of tenors are also available for residential and commercial elements, the lender said.
Kevin Beevers, managing director of commercial lending at Hodge, remarked: “Working closely with our highly valued brokers and customers, we know properties comprising both residential and commercial elements can be an attractive investment opportunity, and we also know that securing the right funding from a trusted partner is key to successfully achieving this.
“When it comes to listening and responding to the needs of its clients, Hodge’s track record is well proven, and it soon became apparent that a more straightforward approach using just one loan was required to help investors pursue the purchase of semi-commercial assets in the current climate.”
“So, we are adding mixed use finance to our ever-expanding portfolio of commercial products to help support experienced property investors further in accessing funding through a single facility to make the acquisition of residential apartments that include an office or retail unit, for example, as straightforward as it can be.”
