One of the borrowers was based in the British Virgin Islands, while the other two were UK companies, but all of them had the same ultimate beneficial owner.

£6.7m of the loan was provided on day one to allow the borrower to acquire a large office unit in Southend with planning for 140 units.

The loan was at 100% of the purchase price and as part of the deal, two other sites were used as additional security. 

One of the securities was an office in east London with planning permission to convert to 24 flats.

A buyer had already been found with the completion of the sale dependent on the flats being built.

Octane provided a £720,000 development loan in order for the works to be completed and enhance its security.

However, the two existing securities did not give enough equity and a third asset was selected as a makeweight: an office in Hastings with full planning permission granted for a number of residential units.

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“This is about as far from vanilla lending as you can get, but it’s the kind of large and highly bespoke loan we want to work on at Octane,” said Matt Smith, director of risk at Octane Capital (pictured above, far right).

“It involved multiple borrowers, multiple securities and multiple moving parts, including a development element and land with planning permission. 

“The teamwork required to structure a transaction of this size and nature was exceptional, with our own Alex Tyrwhitt and Matt Bird operating seamlessly alongside the exceptional Seddons team fronted by Simon Noonoo.”

The loan was introduced by Sammy Kalms of Kalms Property Finance, and was completed in just over a month, a full week ahead of the borrower’s deadline.

The ultimate beneficial owner lived in Jakarta, Indonesia, and had previously met with his London-based solicitors.

Octane was happy for the client to sign the legal documentation via Skype video conference. 

“Octane was integral to the success of what was a very complex loan given the nature of the securities and structures involved,” said Sammy.