Spain ยท Hotels and hospitality

Bridge to term funding for a Spanish hospitality group

An operator had three weeks to complete on a hotel bought at auction. No mainstream lender could move at that speed.

Requirement
Complete an auction purchase at speed
Structure
Bridge then commercial mortgage
Amount
EUR 5m
Time to funds
19 days

The situation

The asset needed refurbishment before it could produce the trading record a term lender would want.

Deposit was already committed, so failure to complete meant losing it.

What we did

We separated the problem into two stages: speed first, cost second. A bridge lender funded completion against the asset value, priced for twelve months.

At the same time we prepared the refinance case, so the term lender was already familiar with the asset by the time trading figures existed.

The outcome

The bridge completed in nineteen days and the purchase held.

Ten months later the group refinanced onto a fifteen year commercial mortgage at roughly a third of the bridge rate.

Details are anonymised. Figures are rounded and identifying information is removed or altered to protect client confidentiality. Past transactions are not a guarantee of future outcomes.

If this looks close to your situation, describe the requirement once and we will structure it and approach the providers whose criteria match.

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