Real estate finance specialist SHC Capital has arranged an investment term loan from Cynergy Bank for a property investment group, secured against a multi-asset high street retail portfolio in South London valued at £32 million.
Cynergy Bank is providing the investment term loan, which includes an element of stabilisation. The group plans to refurbish retail units in the portfolio, which are fully tenanted and generating income, and to regenerate the surrounding area.
Complex structuring requirements
Tony Tadros, director at SHC Capital, said the structuring requirements for the investment term loan were complex and the completion timetable was demanding. He noted that the funding will enable further investment into high street retail properties and contribute to the regeneration of the surrounding area.
Tadros acknowledged the legal professionals involved, including Kirpal Kaur of Mishcon de Reya, and thanked Cynergy Bank for their approach to the transaction.
The deal comes as alternative lenders continue to expand their loan books in the UK property finance market.
Commercial approach to financing
Ravi Sidhoo, managing director at Cynergy Bank, said the transaction required a commercial and solutions-focused approach. The bank’s team, led by Bryan Hawkins, worked with SHC Capital and the wider professional team to navigate the structuring requirements and complete the transaction within the demanding timetable.
Bryan Hawkins, relationship director at Cynergy Bank, said the experienced in-house team worked closely with SHC Capital to deliver the transaction against an exceptionally tight timetable. He noted that the constructive approach adopted by the borrower, SHC Capital and the wider professional team enabled them to resolve complex issues quickly.
The transaction reflects ongoing activity in London’s commercial property sector, despite broader challenges in UK property transaction volumes.
Outlook for retail property finance
The financing arrangement demonstrates continued lender appetite for multi-asset retail portfolios with established income streams. The stabilisation element of the loan structure allows for planned refurbishment work while the properties continue to generate rental income.
Cynergy Bank stated it remains keen to support experienced borrowers on structured real estate transactions.
