Allica Bank has launched its first owner-occupied commercial mortgage offering in Scotland, pledging to lend £50m to small to medium-sized enterprises (SMEs).
The London-based lender has extended its recent offer to lend £50m in qualifying commercial owner-occupied mortgages at a reduced interest margin of 3.5% into the fourth quarter, in order to help smaller Scottish businesses access much-needed capital.
The promotion is available for qualifying owner-occupied mortgages between £150,000 and £5m, with a loan-to-value of up to a maximum of 60% and where debt service coverage ratio is more than two times.
Ricky Kapoor, local relationship manager at Allica Bank, said: “Launching in Scotland is an important next step for Allica and we’ve been driven primarily by feedback that stressed the need for a bank in the country that put relationships first.
“The pandemic has meant many more traditional forms of lending, such as owner-occupied commercial mortgages, have been underserved by banks.
“But this sort of finance is critical for the growth of many businesses – especially those that are going to be key in Scotland and the UK’s recovery.”
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