Case Study: £3m Interest-Only Loan for SPV Purchase of Nine-Unit Block

Explore how lending partners of Fitch & Fitch Private Office have supported high-net-worth clients with bespoke mortgage finance.

Client Profile

private client with a successful track record in property investment, sought to acquire a nine-unit residential block in London for £4 million. The purchase was to be made via a Special Purpose Vehicle (SPV), structured for long-term portfolio growth and estate planning.

The Challenge

While the property was in a prime location with strong rental demand, three of the nine units measured under 30m², rendering them ineligible for a traditional mortgage. Additionally, the units were not yet income-producing, so affordability needed to be assessed based on the client’s broader investment portfolio and income sources.

The Solution

A lending partner provided a £3 million residential investment loan, representing 70% loan-to-value. The facility was structured on an interest-only basis for a five-year term. The lender’s ability to evaluate the full investment proposition – including expected rental yields, asset quality, and the borrower’s financial standing – enabled the deal to complete within ten weeks.

Result

The transaction proceeded smoothly, allowing the client the opportunity and expand their London portfolio. This case highlights how Private Office lending partners can deliver agile, intelligent structuring for SPV-based acquisitions with non-standard features.

Disclaimer

Important information

Your home may be repossessed if you do not keep up repayments on your mortgage.

The case studies featured represent real scenarios supported by our Private Office lending partners. Some details have been amended to preserve client confidentiality.

Mortgages are subject to status, eligibility, and lending criteria. Residential finance solutions are available for properties in England and Wales and are primarily available to UK residents.