Editor's note: This brief was summarised by The Property AI Newsroom from a report by Mortgage Strategy. Read the original article for full details.

Allica Bank Waives Arrangement Fees on Large Commercial Mortgages

Allica Bank has removed arrangement fees on commercial mortgages of £750,000 and above for a limited time. The offer is available for new eligible applications submitted between 7 July and 30 September.

The fee waiver applies to owner-occupier mortgages of £750,000 and above, commercial investment mortgages of £750,000 and above, and specialist buy-to-let mortgages of £1.5 million and above. This move is intended to support business growth.

Allica Bank has also announced further changes to its commercial mortgage proposition. The maximum loan-to-value (LTV) on commercial mortgages of £3 million and above has been increased to 77.5%. Additionally, the bank will now consider lending up to £5 million, up from the previous £2 million, on commercial properties with a single tenant, provided the tenant has at least five years remaining on their lease.

These changes may be relevant to UK letting agents and inventory clerks working with clients seeking larger commercial property finance or managing properties that could benefit from these updated lending criteria.