"We have decided to take third generation lending into bridging’s mainstream."
To date, Octane Capital has focused primarily on non-standard and complex loans. But following broker requests for it to finance more vanilla deals, the lender has now decided to open its doors to all loans.
Octane, which launched in May last year, currently offers residential and commercial bridging as well as medium-term buy-to-let loans.
The lender prices according to risk rather than LTV, meaning each loan is uniquely constructed.
Since launch, Octane has grown from an initial team of three to 14 at the end of January – with more senior hires to be announced in the months ahead - and passed its first £100m of completions at the end of last year.
Jonathan Samuels, CEO at Octane Capital, commented: “Productless lending comes into its own with complex loans, as it provides a blank canvas on which to structure them, but in recent months a number of brokers have asked if we could help them with more vanilla deals. We were naturally happy to and, when putting the loans together, found the process to be effortless as we weren’t constrained by the parameters of product-based lending. On the back of these trial cases we have decided to take third generation lending into bridging’s mainstream.”
Mark Posniak, managing director at Octane Capital, added: "The product-less lending model was untried and untested but the broker community has embraced it and demand has been growing by the day. Brokers love the fact that they’re not having to shoehorn a client into a fixed loan category but can instead work with a lender from the bottom up. We’re now hugely excited to be offering this new lending model to the market as a whole. 2018 is the year third generation lending will come into its own.”
