Hilco provides £7.5m bridge on two Jersey office blocks

Hilco Real Estate Finance (HREF) has completed a £7.5m bridging loan secured against two office blocks in St Helier, Jersey.

The 24-month facility will support the sale of the two neighbouring buildings. Both are five storeys high and fully let, providing a combined 35,722 sq ft of office space.

Income while the sale runs

The loan gives the borrower two years to sell the properties without being rushed. Because both buildings are fully let, they produce rental income throughout the sale process. That supports the loan in the meantime and makes the buildings more attractive to investment buyers looking for established income.

Well-located and fully let, we anticipate strong demand from buyers during the sales process.

Sean Adams, Managing Director at HREF, said deals like this need specialist understanding as well as the ability to provide capital to experienced borrowers. He added that the transaction showed the speed and flexibility that come from HREF's access to discretionary capital, and that the lender looks forward to seeing the borrower's business plan delivered.

Familiar ground in the Channel Islands

Jersey is a Crown Dependency with its own legal system and property law, so lending there needs local knowledge that not every UK lender has.

Alexey Shokhin, Origination Director at HREF, said Jersey is a market the lender knows well through previous loans. He added that HREF underwrites across all types of real estate and expects to do more business in the Channel Islands.