Logo

01923 655441    investors@cpcfinance.co.ukListen To Our Podcast

Game changer case study: Commercial to residential conversion of an office to two houses

by | Jul 28, 2022 | Clients, Case Study

The investor bought an office space near Reading which was originally two properties, before being converted into the office space with the intention to convert it back into two residential properties.

The investor bought the property in June 2021 for £290,000. He worked with CPC Finance to obtain a short-term loan with Octane Capital of £319,167.82 for 12 months. He used £195,621.64 for the purchase and the remaining funds for the refurbishment works.  The purchase was agreed on the basis planning would be obtained prior to exchange of contracts. He applied for planning permission in March 2021 and received approval in May 2021.

Working with Savoys Group, they started the works in mid-July 2021 and finished mid-November. The properties now consist of two, two-bedroom houses, each with two bathrooms. Now they are worth £280,000 each and the investor anticipates a monthly rental of £1,150 per property.

Subsequently, the investor worked with CPC Finance to refinance the properties onto buy-to-let mortgages. They obtained 75% LTV loans from Fleet Mortgages worth £427,385. Ultimately, the investor now has two rentable properties and all his money back out of the project and receives monthly rental income.

Archives