Can international borrowers use bridging finance?

CONTACT CHRIS

The Brexit vote took Enness as much by surprise as most. However, none of us felt the need to resign and re-train in an alternative industry to bridging finance, as we realised that the UK is a global market place – not just a European one. 

In recent years the divergence of wealth has spread across the globe and this has, in turn, led to international investment into the UK real estate sector. Much like UK investors, our international friends want to gear their equity to gear their returns, with the London market proving a great place to do so.

In recent years some of the big names in finance had their knuckles wrapped by the regulator for insufficient due-diligence on certain overseas clients. Typically, some threw the baby out with the bathwater and now shy away from clients in certain overseas jurisdictions, which is just plain silly, and frankly, harmful to our economy.

Emerging markets such as China, India and Africa have been busy markets for us. With the Ruble increasing 40% in value since February plus a recent fall in Sterling, the UK is looking good value for Russian clients in particular.

Our lenders in the short term lending, bridging finance market, also understand this and we work with them closely for our clients all over the world. Europe, of course, but also much further afield. Some of our lenders have actually taken the time to specialise in dealing with clients from certain parts of the world. One, for example, has an in-depth understanding of the African market; another understands how business is conducted in Iran and Libya, and is happy to support clients in these places to do business in the UK.

For us the same principles of a transaction apply to any deal, regardless of where in the world the sponsor may be based or from originally.