Oakman Inns refinances debt to reduce interest payments and support growth

Oakman Inns has partially refinanced the secured debt on two of its pubs with an £11m loan that will reduce interest payments and support future growth.

In a deal with Cynergy Bank the pub group took £3.2m against the Grade II listed White Hart in Ampthill, Bedfordshire, which underwent a major £1.3m refurbishment in 2015.

Against the Royal Foresters in Ascot, Berkshire, it secured a £7.8m loan. It had previously spent three years and £10m refurbishing the pub, which has 24 guest rooms.

The first year of the loan is interest-only with repayments required over the following 24-years.

Steven Kenee, chief investment officer at Oakman Inns & Restaurants said "The deal has significantly reduced our cost of capital. Our relationship director, Steve Crosswell, and all the team at Cynergy proved to be a sensible, pragmatic and straightforward partner to deal with throughout the process.

We are very much looking forward to the next phase of our growth, something that will be much easier with the new financing package in place."

Oakman Inns and Restaurants is an independent pub group which owns and runs 24 pubs, restaurants and hotels in the South-East and Midlands.