"We are making changes to respond to growing demand from professional investors and landlords for commercial property."
Shawbrook has announced a series of enhancements to its core commercial mortgage proposition.
As part of the changes to its commercial and semi-commercial mortgage products, Shawbrook has reduced the minimum loan size to £250,000, reduced rates across its range by 10bps, and increased the maximum LTV by 5% on semi-commercial products to 75% and commercial products to 65%.
In addition, the lender is re-introducing retail assets as acceptable security and relaxing experience requirements for applications from buy-to-let landlords.
Shawbrook has also revised some elements of its criteria to manage increased deal flow in a more volatile market, including implementing a minimum EPC rating of ‘C’ for office properties valued over £2m and streamlining automated decision making with referrals to an expert underwriter on day one for higher LTV deals.
Shawbrook is also adjusting loan terms with interest-only available for up to 12 years and capital or part-capital repayment loans for up to 25 years all available across its range of two, three, five and 10-year fixed rates alongside a flexible variable rate option.
Daryl Norkett, head of real estate proposition at Shawbrook, said: “Shawbrook is committed to staying at the forefront of the real estate market, and we have been tracking the commercial property market closely. Having monitored the market and our own deal flow over the past few months, we are making changes to respond to growing demand from professional investors and landlords for commercial property.
"Our seasoned team of property specialists, supported by our expert broker partners, enable Shawbrook to adeptly navigate the complexities of a wide range of real estate financing. These latest enhancements helps to extend even more support to property professionals, whether that be a seasoned commercial property investor or a buy-to-let landlord looking to expand.”
