The Client
An experienced care home operator with three existing registered facilities across the North West of England, with an outstanding CQC rating across all sites.
The Opportunity and Challenge
A 32-bed residential care home in Lancashire came to market following the retirement of its owner. The property was attractively priced and represented a strong strategic fit, but the vendor required completion within four weeks. The clients preferred long-term lender would need 10-12 weeks to process a commercial mortgage application.
The ABL Solution
ABLs commercial property team identified a specialist bridging lender with appetite for healthcare sector lending. The facility was structured as follows:
- Loan amount: GBP1.45m
- LTV: 70% of purchase price
- Rate: 0.79% per month
- Term: 12 months
- Arrangement fee: 1.75%
- Exit: commercial mortgage refinance
In parallel, ABL began the commercial mortgage process with two lenders.
The Outcome
The bridging loan completed in 19 days. The commercial mortgage refinance completed seven months later and the care home has since been integrated successfully into the clients portfolio.
Without ABLs ability to move quickly, we would simply have lost this acquisition. The bridging finance bought us the time we needed. - Client, Lancashire