10-year deal will be used to purchase the firm’s own premises.
Recognise Bank has agreed a £555,000 commercial mortgage to help an automotive business purchase its own premises.
Ralph & Co. Limited, which specialises in vehicle repairs and servicing, was looking for an enhanced loan-to-value (LTV) deal to acquire its existing trading and workshop site in Surrey, which it has occupied since 2016.
Collaborating with broker, Chris Murphy of Empire Commercial Finance, Recognise Bank agreed a 70% LTV loan with a 10-year loan term to purchase the commercial premises and provide refinance for another part of the site.
Murphy approached Recognise’s Business Development Manager Paul Bagan, having previously worked with him on a number of completed transactions.
Chris Murphy of Empire Commercial Finance said: “This was not the first case we’d submitted to Recognise, so we knew in advance that the Bank would work hard to make the deal work. Recognise understands the current issues facing SMEs and always looks at the bigger picture when assessing a transaction.
“Empire and Recognise worked hard to get the deal over the line, resulting in a very satisfied client. We look forward to working on other cases with Paul and the Recognise team in the future.”
Paul Bagan, Business Development Manager at Recognise Bank, commented: “The client was looking for a higher than usual LTV and appreciated the 10-year loan commitment that we were able to offer, enabling them to commit to a property which they had occupied for many years, providing stability for this successful, established business.
“Providing SMEs with affordable, bespoke commercial mortgages is one of our strengths as a lender. This case perfectly highlights our ability and willingness to create a tailored solution to satisfy the borrower’s requirements.”
Recognise Bank was created to provide SMEs with a digital bank offering a range of unregulated lending options via a network of relationship managers based in hubs around the UK. The Bank also offers personal savings accounts and business savings accounts.