Scottish Commercial property finance case study

The Objective

John Noonan a self employed hospitality consultant and his business partner John Galloway, a Regional Manager with a leading pub and restaurant company decided to pool their respective skill sets and capital to purchase the Eskdale Hotel, Langholm, Dumfriesshire.

Due to a retirement sale, this property offered them tremendous scope for revenue development and capital growth whilst affording them a true life-style business opportunity complementing their invaluable experience in the hospitality sector.

The Solution

Given the trade was in decline due to the vendor’s ill health and pending retirement, the accounts did not reflect the true commercial potential of the property which is located in Langholm, a historic town nestling amidst the rolling hills of the Scottish Borders and Dumfries & Galloway.

Stewart Hindley & Partners undertook the whole debt raising process and prepared adjusted accounts based on industry norms. These were underpinned by comparable financial data of similarly profiled concerns, for the purpose of commercial property lenders debt servicing requirements.

Given that the Eskdale Hotel’s trade was predominately “wet led” we worked with our clients to develop a viable business plan. This was based on a mix of revenues focusing on food and accommodation and repositioned the concern as a destination venue; so fulfilling the lenders criteria for the sector and debt servicing.

The Result

The hotel loan offered, over a term of 20 years, enabled our clients to purchase the Eskdale Hotel at a price that allowed them to invest the balance of their capital for refurbishment. This, in turn, enabled them to improve revenues and reposition the Eskdale as a destination venue for visitors and locals alike.


Stewart Hindley & Partners proposed an elegant solution debt which met our and the hotel lending criteria, which allowed us to reduced the deposit required which resulted and allowed for additional capital to be invested into the business.

We were able focus on our plans for the Eskdale Hotel without the pressure of raising debt which had been subsequently declined by other lenders. From the outset Stewart Hindley & Partners gave us the confidence that they could make this happen for us. We can’t thank them enough for their efforts.

John Noonan & John Galloway
Eskdale Hotel, Langholm

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