The five-year agreement at 52% LTV will allow Interland to refinance an existing £42.2m loan with STB and a £24.2m uplift to cover additional assets previously financed by various other lenders.
With the original investment property loan due for refinancing next year, the early refinancing allows Interland to lower its cost of debt while fixing the rate across all properties to maximise business stability and avoid the need to manage multiple refinances over the next two years.
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Oleg Vorobeichik, group MD at Interland Group, commented: “We are delighted to increase the depth and breadth of our relationship with STB.
“The refinancing forms part of Interland’s strategy to re-capitalise its debt through portfolio funding, thereby allowing the group to reduce its cost of debt and achieve the flexibility required to balance market volatility and the group’s operational needs.”
Richard Nowell, senior relationship director at STB, added: “As a bank which places a great deal of emphasis on the relationships we build with a range of ambitious property investors and developers, this refinancing deal underlines just how effectively we can work together to agree a deal which acts as a springboard for future growth.”
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