Arc & Co. secures £5.76m from State Bank of India for refinance of Essex open storage asset

09 April 2026

Arc & Co. has successfully arranged a £5.76m commercial term facility for a repeat developer client, secured against an open storage site in Epping, Essex.

The three-year loan was provided by the State Bank of India (SBI) at 65% loan-to-value, with the interest rate fixed at 6.55%. The facility was utilised to refinance existing development finance and release equity to support the client’s wider investment property portfolio.

The transaction was led by Arc & Co. Asset Finance Advisor Tom Savill, who worked closely with the client to navigate the specific requirements of the open storage sector.

The asset is a unique industrial site comprising over five acres of secured yard space. The current income profile did not meet the standard debt service coverage ratios of many traditional lenders. To address this, Tom Savill structured the deal with a small interest reserve, ensuring the facility was serviceable while the client executes their strategy to maximize lease revenue.

Commenting on the deal, Tom Savill, Asset Finance Advisor at Arc & Co., said:

“This transaction demonstrates our ability to secure competitive terms for specialized asset classes that often fall outside the typical lending criteria of high-street institutions. Understanding the nuances of open storage was key to this deal. By effectively communicating the long-term value of the asset and structuring a bespoke interest reserve, we were able to deliver a solution that met the client’s equity release goals.”

The transaction was completed within three months. State Bank of India remained highly accommodating throughout the transition, ensuring a smooth path to completion.