SDKA provided a crucial £322,000 bridge loan to help a developer complete a multi-use public house project in North Shields, Newcastle-upon-Tyne, after the original lender withdrew at the last minute.
The developer faced a tight deadline with an existing bridge facility closing and needed extra funds to finish the project. This included cosmetic refurbishments to a vacant ground-floor pub, completing three newly refurbished one-bedroom apartments for long-term rent and Airbnb guests, plus finalising a car repair workshop on site.
Chris Adlam of Advanced Funding Solutions (AFS), an appointed representative of Synergy Commercial Finance, turned to SDKA. The lender processed the application and released funds within two working weeks. They also updated the recent valuation to save time and costs for the borrower.
The deal completed at 70% loan-to-value on SDKA’s semi-commercial product with a flat rate of 1.10% over 12 months. Since all parts of the project are expected to generate income within 90 days, SDKA agreed to retain interest for three months to ease serviceability.
Exit plans involve refinancing based on the property’s uplifted value of £535,000.
Chris said: “SDKA quickly understood the project and the applicant’s vision, using every possible avenue to ensure the funds were released just in time. Their customer-first approach was key to completing the deal on schedule from day one.”
Kunal Mehta (pictured), managing director of SDKA, added: “This was a well-executed project that ran into issues beyond the developer’s control. In bridging finance, trust is everything, and that’s exactly what we deliver.”
