MCIFA Property Finance has completed an £11 million “complex and substantial” short-term funding deal for an international property developer client.
The deal was funded exclusively through Omni Capital and is secured over a 12 month period at a loan-to-value of 50% on a residential property in the south.
The professional property developers were presented with a “compelling opportunity” to acquire from receivership an attractive development site in Europe, but were held to a very tight deadline in order to secure the deal.
MCIFA were approached to establish if multi-million pound funding could be arranged in fewer than five days. Paul Munford, CEO of MCIFA, immediately arranged an urgent meeting with the clients and their legal representatives.
Having established the complexities of the case –
a multiple-unit property with multiple leases, and a development site held through a corporate structure with numerous directors and levels – Munford presented the case to Omni Capital for review and issuance of terms.
With the lender onside, a conference call was arranged with all relevant parties, including lawyers from both sides and the client’s tax advisers, to agree a critical path and timeline to meet the receiver’s deadline.
After numerous emails, many telephone calls and several rush courier jobs, full funds were disbursed to complete the transaction just 72 hours after the initial meeting between MCIFA and its clients.
Munford said: “This was an incredible deal. The clients were first-class and had an excellent management team. Omni Capital, the lender, put full and committed resource behind the deal and expressed a determination to meet deadlines.
“And also I have to thank the team at MCIFA, specifically Paul Agnew, for their round-the-clock assistance – we handled more than a thousand documents in such a short period.
“This was a deal that was the result of super-fast decision making, the input of excellent professionals and a common-sense approach to lending.”
Colin Sanders, Omni Capital’s CEO, said: “To complete a deal of this type and structure demands the full resources, co-operation and focus of the parties involved. While highly attractive from a lender’s risk-reward perspective, its many layers and nuances made the case one most lenders would find daunting, including the banks.
“The fact we overcame such challenges with relative ease is testament to MCIFA’s superb professionalism and expertise, and Paul Munford’s personal determination to secure a positive outcome for his client.”
