Case Study: Bridging Finance of €760k provided in Limerick

• Equity Release Loan

• Loan used for purchase and renovation of three properties

In the latter half of 2022, Onate received an inquiry to provide an equity release on a stabilized multi-let residential property in Limerick. The promoter purchased this property in 2021 and carried out a schedule of works in order to improve the property. Upon completion of the works, they were able to secure a long-term lease with a local authority.

The borrower then committed to purchasing three properties in Limerick that required a significant level of renovation and refurbishment works in order to bring them up to standard for local authority/Approved Housing Body leases.

Onate provided a facility of €760K, enabling the borrower to release equity. This helped assist the promoter to progress with both the purchase and refurbishment works on the three separate properties. Subsequently, within a nine-month period, the loan was refinanced with a longer term source of finance.

This case study highlights the significance of bridging finance in addressing funding challenges when faced by a number of projects at once. The property was recently refinanced with a longer term funding solution.