HMO conversion in Walsall – Foreign National Developer

Broker: Laurence Mills

Introduction: Laurence Mills recently facilitated financing for a UK Ltd company owned by a Nigerian developer holding a UK work visa. The developer was looking to refurbish a semi-commercial property into a multi-tenant residential space. The developer was looking to refurbish a semi-commercial property into a multi-tenant residential space.

Overview: Sedulo provided a heavy refurbishment facility to support the conversion of the property. The funding package included:

  • 65% Day 1 funding
  • 100% coverage of build costs

This financing enabled the developer to transform the property into an 8-bedroom House in Multiple Occupation (HMO) and a self-contained 1-bedroom flat. The facility allowed the client to proceed with the project without upfront costs for the build, ensuring a smooth and efficient transformation process.

Objections Overcome:

  • Foreign national borrower
  • Rising build costs
  • Reduction in GDV
  • Unique planning conditions

Case highlights:

  • Product – Heavy refurbishment loan
  • Loan amount – £360,000
  • Loan to value LTV – 65% LTV / 65% loan to LT GDV
  • Term – 12 months
  • Speed of delivery – within 6 weeks of application
  • Exit strategy – Refinance to BTL HMO Mortgage

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