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Rural properties can present a unique set of challenges, particularly when location and asset type limit lender appetite. This was the case when a property owner sought to refinance a portfolio of commercial units on a working farm.
While some lenders were deterred by the agricultural ties and rural setting, Redwood took a pragmatic view, working closely with the broker to understand the asset and support the customer’s long-term plans.
THE SITUATION
A property owner required a refinance of an existing bridging facility, totalling £1,330,000, secured against a portfolio of industrial units on a farm near Norwich. The assets were valued at £2.5 million.
The customer had previously occupied the units for their own business, but had retired in 2025, subsequently transitioning the units to a 10-year commercial lease. Following a programme of refurbishment – funded via the bridging facility – the increased asset value created an opportunity to exit on to a term commercial mortgage.
Redwood’s ability to quickly assess the opportunity, combined with a strong understanding of the asset class and rural location, gave the broker and customer confidence in progressing the case.
THE SOLUTION
Redwood approved a loan of £1,468,800 at 58.8 per cent LTV, structured on a C&I term with a 2 per cent fee, with drawdown within four months.
Due to the property achieving an EPC rating of B, the customer also qualified for Redwood’s Green Cashback Reward, providing a return of 0.40 per cent on the net loan amount of £1,440,000, equating to £5,760.
THE EXPERIENCE
James Etheridge, Advantage Financial Solutions Limited, said: “Redwood stood out from the very start for their willingness to engage with the detail of the deal and their confidence in the security.
“As our first transaction together, the experience has been extremely positive. Their speed of response and collaborative approach gave us and the customer reassurance from the outset and they delivered throughout the process. We look forward to building on this relationship and working with Ian and the team again in the future.”
Cases involving rural assets often require a more detailed and considered approach, particularly where there are agricultural links that may limit lender appetite. By taking the time to meet the customer and fully understand both the property and its history, Redwood was able to present a clear and well-supported case.