Specialist bridging lender Aspen has completed a £2.475 million Bridge-to-Let facility for the acquisition of a four-bedroom penthouse in the Royal Borough of Kensington and Chelsea, marking its second prime central London transaction within seven days.
The deal was completed in under three weeks, funding the auction purchase of a property extending to more than 3,000 square feet. The penthouse includes a 360-degree wraparound balcony with views across London, alongside a private hot tub terrace and outdoor entertaining space.
Foreign investor targets rental market
The purchaser, a foreign national investing through a Spanish-registered corporate entity, secured the property at auction and intends to hold it as a long-term investment within the private rental sector. The transaction was structured as a nine-month facility at a flat rate of 0.84% per month, with the option to transition onto a serviced buy-to-let period at 6.89% per annum over two years using the same documentation.
The completion follows a similar £1.9 million Bridge-to-Let facility on a Mayfair apartment for an overseas investor operating through a Singapore corporate structure, completed days earlier. Both transactions involved foreign nationals investing through overseas corporate structures, adding complexity to the underwriting process.
Auction timeline drives process
Richard Tweddell, underwriting manager at Aspen who led both transactions, noted the time constraints inherent in auction purchases. “Auction purchases demand certainty and speed above all else, with the client’s timeline set from the moment the hammer falls,” he said. “Here we were also navigating a foreign national investing through an overseas corporate structure, adding layers of legal and underwriting complexity.”
The activity in prime central London comes as major lenders cut mortgage rates in response to falling swap rates, while UK property offers have declined 6% as buyers become more selective in their purchasing decisions.
The two prime London completions within one week demonstrate continued appetite from international investors for high-value residential property in the capital, despite broader market caution.