20 Feb, 2008
Bridging lender Bridgebank Capital is no
longer accepting what it describes as "desperate" property
It says that as a direct result of the liquidity crisis it is
seeing a significant increase in bridging loan enquiries, which
fall into two opposing groups.
In a statement it says: "On the one hand there's the desperate
property transactions where our bridging loan exit can not be
comfortably assured, and in this situation we are turning away
This refers to bridging loans where the exit strategy cannot be
confirmed or it may be hard for the lender to see how the borrower
is going to pay back the loan or switch onto a sub-prime mortgage.
It says thought that it is seeing a material improvement in both
the number and quality of property finance propositions compared to
a year ago.
Where as in the past bridging loans may have been funded by
institutional high street lenders, borrowers are now turning to the
secondary lending market.
Bridgebank says it has the funds and appetite to finance what it
describes as the right deals. And while it's picky about the
types of deals it does, it still welcomes any new