£3M+ High-End Buckinghamshire Property Holds Strategy and Long-Term Remortgage

The Situation

One of our clients had completed an exceptional development of three high-value properties in Buckinghamshire, each with an estimated value in excess of £3 million. Despite the quality of the development, the market slowdown meant the homes were not selling as quickly as anticipated.

This created two major issues:

• Rising Costs: The development facility was accruing compound interest, eroding the client’s equity.

• Pressure to Reduce Prices: To encourage sales, the client began reducing listing prices, directly reducing their financial return and future inheritance for their family.

With development interest charges at approximately £15,000 per month, the situation was rapidly becoming unsustainable.

The P10 Solution

We proposed a creative alternative that protected value and eliminated pressure to discount further:

1. Reposition the Asset

Rather than force a sale at an unfavourable time, we advised the client to hold one of the properties medium to long term and generate rental income.

2. Business Restructure

The property was held within the client’s development company, which made traditional Buy-to-Let lending very challenging. Leveraging our in-house tax advisory team, we restructured the client’s business and established a group structure. This enabled free movement of assets without triggering tax liabilities such as Stamp Duty.

3. Tailored Lending Solution

The final requirement was to secure a mortgage that worked with the property’s rental yield, particularly given the low return relative to the outstanding debt. We needed a product with a rate below 4% to make the transaction viable.

With access to over 300 lenders and deep market knowledge, we sourced and secured the right deal.