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Refinance of Large Retail Food Shop

Updated: 14th February 2007 (PM)

For: Ground Floor Shop & 1st Floor Offices
Location: Nottingham
Amount: £350,000

The client had bought an ex Kwik Save Store and turned it into one of the largest Ethnic Retail Food Shops in the Midlands.

Due to first year losses, existing bankers were nervous. However, turnover and profitability was increasing rapidly as the business settled down and the client also leased out the first floor offices to one of the local Colleges.

Our refinancing deal enabled the client to consolidate several existing loans, which provided a cash flow benefit as well as releasing some additional capital.

A 15-year repayment facility was agreed at bank base rate plus margin 2%.
Loan to value 70%.