Financing with SPV structures across jurisdictions

When the residential property is not acquired directly by a natural person, but by a special-purpose vehicle set up for the transaction. Financial structuring and coordination with lenders that understand this profile.

Who this line is for
This line covers transactions in which the residential property is not acquired directly by a natural person, but through a special-purpose vehicle (SPV) incorporated specifically for the transaction. It is the standard structure in international wealth planning, in prime residential investment, in acquisitions intended for regulated tourist exploitation and in purchases made by family offices and private capital vehicles.
We work with SPVs incorporated in Spain (sociedades limitadas or sociedades civiles patrimoniales), in EU jurisdictions (Luxembourg, the Netherlands, Ireland, Malta) and in jurisdictions outside the European Union (the United Kingdom, Switzerland, the United States and other regulated jurisdictions), provided that the underlying asset is residential real estate located in Spanish territory.

What our intermediation includes

Financial analysis tailored to the corporate structure

We carry out a financial analysis tailored to the client’s corporate structure, taking into account the capacity of the SPV, the equity contributed, additional corporate guarantees available and the recourse or non-recourse mechanics negotiated. This preliminary analysis allows us to present the transaction to lenders with a realistic and defensible structure.

Identifying the lender that fits the profile
In this segment we work not only with private banking and corporate banking, but also with non-bank lenders (private credit, debt funds, family offices with lending activity) when the structure does not fit standard banking criteria. The diversity of funding sources is essential to match profile and transaction.

Structuring the security package
We structure the security package for the transaction: a mortgage over the property as the principal security, a pledge over the SPV’s shares or quotas, a pledge over bank accounts and, where appropriate, corporate or personal guarantees from the ultimate beneficial owner. The correct articulation of security is one of the determining factors in setting the rate and the LTV.

Negotiating the facility agreement
We negotiate the principal terms of the facility agreement: financial covenants, events of default, conditions precedent to drawdown, drawdown and repayment mechanics, structuring and non-utilisation fees, as well as periodic financial information clauses.

Multi-jurisdictional coordination
We coordinate the transaction with the client’s legal counsel in each of the jurisdictions involved. The client retains independent legal and tax advice at all times; our role is strictly one of operational coordination, ensuring that the financing documentation is compatible with the corporate structure designed by the client’s advisors and with the lender’s requirements.

Enhanced beneficial-owner identification
We apply enhanced procedures for the identification of the ultimate beneficial owner (UBO) and for the verification of the source of funds at each link in the corporate chain, in accordance with Spanish Law 10/2010 and international standards on the prevention of money laundering. Traceability of the corporate chain is a standard condition of lenders in this segment.

Technical particularities
The loan-to-value (LTV) is usually more conservative in this type of transaction, generally between fifty and sixty-five per cent, due to the structural complexity and the borrower profile. The drawdown mechanics may contemplate tranches based on the transaction timetable or on planning milestones where the transaction so requires.

Who it is for
Transactions from €2,000,000, with a sophisticated client profile: family offices, real estate investment vehicles, international holding companies and ultra-high-net-worth individuals (UHNWI) with pre-existing corporate structures. The average ticket we handle in this line is generally above €5,000,000.