TWP and Capitalise secure flexible finance structure for a multi million pound property portfolio

Rising borrowing costs, interest rate risk and a complex portfolio

A long standing client of TWP Accounting LLP Chartered Accountants had a well established relationship with an existing lender, which had financed their multi million pound property portfolio for many years. However, following changes in UK interest rates in 2022, the business experienced a significant increase in borrowing costs by 2025.

The client had not been made aware in advance of the potential impact of these rate changes. No strategic review had been undertaken by the existing lender, and no suitable hedging strategy had been offered to help mitigate the associated interest rate risk. This left the business owner facing a familiar and serious concern. When rates had changed previously, the resulting increase in repayments had forced them to sell part of their property portfolio in order to cover the additional costs. With borrowing costs rising again, they wanted to avoid being placed in the same position and needed expert guidance on how to protect the portfolio more effectively.

The facility totalled just under £10m and the business owners were based offshore. This limited the number of lenders able to support the transaction. The client needed a more considered funding solution that could balance certainty, flexibility, lender appetite and long term risk management.

TWP and Capitalise review the market and structure the right deal for the business

Concerned about the increasing cost of finance, the client discussed the situation with their accountant, Philip Munk, Partner at TWP Accounting. Recognising the complexity of the portfolio and the importance of finding the right finance structure, Philip introduced the client to Capitalise in June 2025.

Capitalise Revenue Lead, Funding, Quin Noble, began by carrying out a comprehensive review of the client’s requirements. He then conducted a detailed search across the lending market to identify the most competitive and appropriate financing solution for a transaction of this scale. This review was particularly important given the international element of the portfolio, which meant the pool of suitable lenders was more limited. Capitalise worked to identify a lender with the appetite, experience and flexibility to engage with the full complexity of the transaction. Following this review, Barclays Bank was selected as the preferred funding partner.

Working together, TWP and Capitalise helped progress the refinancing through several months of negotiation for the client. Given the size and complexity of the portfolio, the transaction required careful coordination, detailed lender engagement and close management of the process from start to finish.

A key part of the solution was securing a more flexible structure than the client had initially expected. Rather than placing the full facility onto either a fixed or variable rate, Barclays agreed to split the facility across two loan IDs. This allowed half the facility to be placed on a fixed rate and the second half to be placed on a variable rate.

Greater certainty, flexibility and control over future borrowing costs

Philip and Quin helped overcome some last minute delays and hurdles, but the refinancing was completed at the end of June 2026, with funds successfully drawn down. For the business owner, the outcome was a substantially improved financing structure and greater certainty for the future of the property portfolio. The client now has a facility that is better aligned to the way they want to manage the portfolio. They are no longer reliant on a single, inflexible structure and have more control over how they respond to future interest rate movements. This is particularly important given their previous experience of having to sell assets when borrowing costs increased. The new arrangement gives the business owner greater confidence that the portfolio is supported by a finance structure designed around its scale, complexity and long term needs.

"The client had already felt the pressure and uncertainty that rising rates can create, so it meant a lot to help them avoid facing that situation again. I’m really proud that, alongside TWP and Barclays, we secured a structure that gives the business owner greater confidence, control and peace of mind for the future." - Quin Noble, Revenue Lead, Funding at Capitalise

The successful completion reflected the value of TWP’s trusted client relationship, Capitalise’s market expertise and transaction support, and Barclays Bank’s willingness to engage with a complex, high value property finance requirement.

“The outcome delivered a substantially improved financing structure and provided greater certainty for the future of our property portfolio. We were highly impressed by the professionalism, expertise and persistence demonstrated by Philip Munk and Capitalise.” - Business owner, Real estate portfolio company.