Top 10 lenders named

Just two UK banks make up the top 12 list of property lenders according to Savills...

In its annual review of the top lenders to the property industry, where it interviews more than 100 global lenders, Savills said 40 claim to have an appetite to lend to UK property, albeit on varying terms.

It said today, only 12 lenders will consider deals above £25 million and banks are also taking longer to go through their approvals processes.

Savills found that secondary investment properties and development projects are 'in general unfinanceable, and those properties that will be considered are under more strict lending terms averaging 60 per cent LTVs and higher margins of 200+ basis points.'

The 12 lenders in Savills 'big ticket' category are:

Abbey Landesbank Berlin

BLME LBBW (Stuttgart)

Deka Bank Munich Hyp

Deutsche Postbank Nationwide Building Society

D G Hyp Société Géneralé

Helaba West Immo

However it said many lenders are lending strictly to existing customers and 'in reality the scale of lending has changed dramatically over the past 18 months'.

William Newsom, Head of Savills UK valuation, said, ‘I know of at least half a dozen other lenders who may also be on the list, but the level of actual loans committed is variable. The UK is immensely attractive to lenders (and investors) due to a repricing of property and currency value changes.

'Whilst many of the big banks are out of the market due to their exposure to toxic activities, and swathes of the property market are unfinanceable due to perceived insecure cash flows, for lenders with liquidity (of whom a large number do exist) there are good returns to be made from lending secured against good quality assets, and those lenders are taking advantage of the changed market situation,' added Mr Newsom.

Source: www.propertyweek.com