Project Background:
An experienced portfolio landlord with 24 buy-to-let properties and over 30 years in property was continuing to expand into the assisted living sector, acquiring HMOs let on long-term leases to care providers.
Having completed a successful transaction previously, the client returned to fund the next phase of portfolio growth.
Challenge:
The client required funding across three small HMOs, all supporting residents with learning disabilities, mental health conditions and other social care needs.
Their objectives were to:
Transfer both from personal ownership into an SPV
Refinance a third property to release equity for onward investment
Secure competitive pricing while retaining flexibility for future expansion
The refinancing also needed to improve affordability and better align with the client’s long-term investment strategy.
Solution:
A cohesive funding structure was agreed across all three properties:
Two HMO purchases funded at 76.5% LTV
One refinance at 76.4% LTV, including equity release
Five-year fixed rate at 6.49%
Interest-only during the fixed period
28-year total loan term
Green Cashback Reward applied where eligible
Updated affordability criteria enabled the refinance to be moved away from a larger bank, delivering improved value and flexibility to support future growth.
Outcome:
The client successfully acquired two assisted-living HMOs within their SPV, releasing equity to fund further portfolio expansion. The transaction consolidated the portfolio under a single SPV structure, supporting continued investment in the social care sector. This repeat transaction reflects a strong working relationship and a well-structured approach designed for long-term growth.
Chloe Rule
