Howard Kennedy helps secure FCA authorisation for P2P real estate lender Relendex
Law firm Howard Kennedy has advised Relendex, a peer-to-peer commercial real estate lending marketplace, on securing full authorisation from the Financial Conduct Authority (FCA).
FCA authorisation demonstrates the rigour and governance of the Relendex platform and will allow it to launch its new Innovative Finance ISA, offering retail investors tax-efficient lending to the UK commercial property market.
Authorisation was secured on 23 March at the end of a lengthy application period. Relendex, along with many other firms in the P2P market, has experienced a complicated process of application in view of the approach that the FCA has taken generally to firms offering services in this market.
“Peer-to-peer lenders have generally struggled to secure full FCA authorisation, thanks in part to an application process that the FCA has administered in a perhaps unnecessarily complex fashion. Many are even now operating under interim, or grandfather, permissions from the old days of the OFT. This is an important milestone for Relendex and a validation of its business model. We are delighted to have been part of this important development and Relendex’s ongoing success.”
“The appetite for P2P marketplace lending in the property sector continues to grow at an incredible rate with the advances in technology resulting in further market share being taken from the high street banks. Receiving full authorisation will accelerate this growth and demonstrates that Relendex's robust operational infrastructure has met with the highest standards demanded by the FCA, bringing increased transparency and confidence to our customers and – importantly – offering smaller retail lenders the chance for exposure to commercial real estate finance performance.”
Howard Kennedy is currently advising and in discussions with six other peer-to-peer platforms at various stages of the process of securing full FCA authorisation.
Howard Kennedy has 53 partners and numbers 350 people in total and works alongside national and international clients across many disciplines, including banking, corporate and commercial, family, finance, employment, dispute resolution, intellectual property, private client, real estate and tax. Howard Kennedy has particular focus on the Financial Services, Media and Technology, Real Estate, Retail and Leisure, Sports Individuals sectors, and, through HK One, the firm’s legal concierge service for high net worth individuals with complex legal needs.
Matt Baldwin, Coast
Tel: 01233 503200 / 07930 439739
Susanne Pugsley, Business Development Director