Pepper Ireland said it will restart offering new commercial loans in the Irish market in a response to more favourable market conditions and new emerging opportunities in the market.

Trading as Pepper Money Commercial Lending, the commercial lending arm of Pepper Ireland stopped commercial loans here in September 2020.

It blamed this on the increasingly challenging market conditions, reduced availability of funding from wholesale lending markets and the significant volatility and uncertainty in global financial markets brought about by the impact of Covid-19.

Between 2017 and 2020, Pepper advanced loans of over €200m to customers and built up a commercial lending portfolio, which it has since continued to manage and now intends to expand.

Pepper said it would offer alternative lending options tailored to meet the needs of commercial borrowers, such as those looking to refinance or grow and develop their businesses, including SMEs, family businesses and investors with single and multi-property proposals.

Pepper will advance loans to projects ranging in value from €250,000 to €9.95m.

It said it aims to cater to a range of commercial property and professional buy-to-let borrowers wishing to refinance loans or buy new commercial properties.

It will offer loan terms of up to seven years, with up to three years on an interest only basis, and customers have the option of spreading payments up to 30 years, thereby enhancing affordability.

Cormac Ryan, CEO of Pepper Ireland, said today's decision not only reflects improved conditions in financial markets but also growing customer demand and the opportunity to yet again bring more choice and competition into the Irish market.

"While Commercial Lending will continue to be a niche part of our overall Irish business, which has over €18 billion under management, our products have been very well received by customers in the past and we have enjoyed significant success in building our commercial loan book to date," Mr Ryan said.

"We look forward to building on this success with existing and new customers in the future and as before we will be seeking to provide a genuine alternative to the status quo - focusing on progressive criteria, quick decisions and smooth execution," he added.

Operating in Ireland in 2012, Pepper Ireland employs over 450 people in Shannon and Dublin and has over €18 billion of assets under management. It is part of the global financial services business Pepper Group.