Stay up to date with notifications from The Independent

Notifications can be managed in browser preferences.

Commercial mortgage lender to offer loans again after months in hibernation

Simon Evans
Sunday 07 June 2009 00:00 BST
Comments

Your support helps us to tell the story

This election is still a dead heat, according to most polls. In a fight with such wafer-thin margins, we need reporters on the ground talking to the people Trump and Harris are courting. Your support allows us to keep sending journalists to the story.

The Independent is trusted by 27 million Americans from across the entire political spectrum every month. Unlike many other quality news outlets, we choose not to lock you out of our reporting and analysis with paywalls. But quality journalism must still be paid for.

Help us keep bring these critical stories to light. Your support makes all the difference.

Commercial First, the Essex-based mortgage lender that was forced into hibernation after closing its doors to new business last year, is set to recommence lending to its customers.

The lender, which is run by David Johnson, the Grand National winning horse-owner, is believed to have struck a deal with a number of banks that will allow it to advance loans once again.

Before the de facto closure of the securitisation markets, Commercial First was lending more than £1.5bn to small- and medium-sized enterprises.

The group's ability to lend once more is another sign that the worst of the credit crunch could be over.

Commercial First is 28 per cent owned by Lloyds Development Capital the private equity arm of Lloyds Banking Group. The remainder of the company's equity is held by Mr Johnson and management. The lender said earlier this year that it was in talks with a Mid Eastern company, that could have lead to a partial sale.

The group lobbied the Government heavily last year asking for assistance to begin lending once again.

Join our commenting forum

Join thought-provoking conversations, follow other Independent readers and see their replies

Comments

Thank you for registering

Please refresh the page or navigate to another page on the site to be automatically logged inPlease refresh your browser to be logged in