Redwood Bank has completed a £3.7 million refinancing package for a portfolio landlord with student houses in multiple occupancy (HMOs) across Lincoln and Liverpool, replacing short-term bridging loans with longer-term facilities.
The deal, arranged through specialist broker Unique Property Finance, involved a portfolio of residential properties converted into student accommodation. The refinancing was structured across several special purpose vehicles (SPVs) and released capital for future acquisitions.
Transaction structure
The facilities combined residential investment and HMO mortgages, structured on interest-only terms with five-year fixed rates up to 75% loan-to-value. In one instance, Redwood completed a refinance in Lincoln from submission to drawdown in two weeks.
“When the borrower, broker and lender all understand the process and work collaboratively, deals can progress quickly,” said Sue Young, business development manager at Redwood Bank. “Building strong relationships with both the broker and the customer was key to delivering a successful outcome.”
Market context
The transaction reflects ongoing demand for student accommodation financing as portfolio landlords seek to consolidate short-term debt arrangements. The deal replaced bridging facilities with term lending, providing more stable financing for properties in two university cities.
Beena Budhedeo, director at Unique Property Finance, noted that Redwood “understood the client’s structure and objectives and approached the transaction with clarity and commercial insight.”
The refinancing demonstrates continued lender appetite for HMO portfolios in established student markets, with Lincoln and Liverpool both hosting significant student populations requiring private accommodation.