InterBay Commercial has made new changes to its pricing and criteria for commercial investment.
Following feedback from its key partners, Interbay Commercial has cut rates for commercial investors who let their property to an established, regional or national tenant.
The proposition offers fixed and variable rate options, as well as the ability to take the loan on an interest only basis.
The details of pricing along with the conditions for lending are as follows:
- Interest only, fixed and variable options available
- Maximum LTV 75% (subject to no more than 90% of the market value on the special assumption of vacant possession)
- Minimum loan of £250,000
- 10 year maximum term
- 110% DSCR available on fixed rates and 125% DSCR is required for variable rates
- Secure full repairing and insuring leases, with upward rent reviews only
- Established, national or regional tenants only
Adrian Moloney, sales director at OneSavings Bank, said: “Our Key Partners and their clients have grown used to benefitting from the specialist nature of InterBay’s proposition, and this enhanced commercial investment offering is no different.
“This new product range will, of course, be supported by individual case assessment, ensuring that InterBay remains a lender that Key Partners can trust.”
Pricing for the new range is as follows:
Variable:
| Commercial | 55% | 65% | 70% | 75% | Fees |
| £250,000 – £750,000 | 3ML+ 4.25% | 3ML+4.50% | 3ML+ 4.75% | 3ML+5.0% | 1.5% |
| £750,000+ | 3ML+ 4.50% | 3ML+4.75% | 3ML+5% | 3ML +5.25% |
Fixed rate:
| Commercial | 55% | 65% | 70% | 75% | Fees |
| £250,000 – £750,000 3yr Fixed | 5.25% | 5.50% | 5.75% | 6% | 2% |
| £250,000 – £750,000 5yr Fixed | 5.50% | 5.75% | 6% | 6.25% | 2% |
| £750,000+ 3yr Fixed | 5.50% | 5.75% | 6% | 6.25% | 2% |
| £750,000+ 5yr Fixed | 5.75% | 6% | 6.25% | 6.50% | 2% |
Three-month Libor is subject to a minimum rate of 0.75%.