Case Study: £8m Mortgage for Hedge Fund Co-Founder Secured Against Rural Properties and Land

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

Client Profile

A senior executive at a UK-based investment firm. The majority of his wealth was retained within the company, with a director’s loan facility also in place. He held significant equity in the firm and was drawing a modest salary, with the rest of his financial structure linked to company performance and retained earnings.

The Challenge

The client sought to raise capital against two residential properties and over 100 acres of land in the South West of England. The main residence required refurbishment, and the loan was needed to fund further investment into the hedge fund. Traditional lenders were hesitant due to the rural location, the scale of the asset, and the complexity of the client’s income — particularly given the limited personal liquidity and the director’s loan position.

The Solution

A lending partner undertook a comprehensive analysis of the hedge fund’s historical performance to determine sustainable levels of remuneration the client could draw — including salary and future dividends. A bespoke facility was structured, offering an £8 million mortgage at 80% LTV, with an interest-only component and annual capital reductions over ten years, targeting a final LTV of 65%. The structure provided immediate access to capital while creating a gradual deleveraging pathway tied to business performance.

Result

The client successfully raised capital to support strategic growth in the fund while retaining ownership of the rural estate. This case illustrates how Private Office lending partners can deliver high LTV facilities secured against complex rural assets for entrepreneurial clients with corporate-based wealth.

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.