The loans of £385,000, £365,000 and £395,000 valued at total £1,850,000 (total LTV 61.9%) are cross collateralized, meaning that all three houses will remain as security until all three loans are paid in full.

The borrower has also arranged for one of the other group companies to provide an additional security supported by a second legal charge on another property valued at £900,000. The director / shareholder of the borrowing company has provided a personal guarantee for the whole amount of the loan.

All three properties are located next to each other in an established residential location in Whetstone in north London.

The subject property comprises what was originally a 3 bedroom semidetached house which has been altered and adapted to create two self-contained flats (one on ground floor providing 1 bedroom and the other on first floor with 2 bedrooms). Each flat has its own entrance door. The property dates to the 1930’s.

The property is of traditional construction with solid brick walls and a part pebbledash render finish to the upper floors under a hipped and pitched tiled roof. The windows are predominantly uPVC double glazed (there are a limited number of older aluminium framed units) with floors of suspended timber construction. To the rear of the property there is a two storey extension of similar construction.

Externally the property has a single garage of concrete framed construction under a pitched corrugated cement sheet roof together with garden area to the rear. Access to the garage is via a shared drive over which we have assumed that appropriate rights of way have been reserved. Off street parking for 2 cars is provided at the front of the property.

The subject property is located within an established residential location in Whetstone in the London Borough of Barnet in north London. The property is located on the Avenue which comprises a road of similar style residential dwelling houses within a short walk of the local services and facilities available on both High Road and Totteridge Lane. This includes Totteridge and Whetstone London underground station (Northern Line). In addition Oakleigh Park overground railway station is located within ½ mile of the subject property.

The borrower is a London based real estate investment company with a substantial real estate portfolio in London. 

The borrower intends to obtain the planning permits for the construction of additional houses in the adjoining land. Once the authorities provide the permit the value of the property will increase. Whether the authorities grant / reject the planning application the borrower plans to refinance with a high street bank.