Relocating internationally while upgrading a property portfolio can be complex, particularly when significant assets are held across multiple jurisdictions. In this case, we advised Canadian-resident clients who owned an unencumbered villa in the South of France valued at approximately €2 million. As they planned a permanent relocation to France, they wished to acquire a larger family villa with a target purchase price of around €5 million, while preserving liquidity, flexibility, and ownership of their existing assets.
Alongside their French property, the clients also owned a substantial fine wine collection stored in professional facilities. Rather than treating this as a passive holding, we identified early on that the collection could play a strategic role within the overall financing structure.
One of the primary challenges was timing. The clients had not yet identified their future home, but wanted clarity and confidence around their borrowing capacity before committing to a purchase. Many traditional lenders are reluctant to provide meaningful terms without a specific property identified as collateral. Our role was therefore to design a solution that could be implemented immediately and evolve seamlessly once the final property was selected.
We approached a range of specialist lenders and private banks to structure a flexible, forward-looking solution. The resulting approach combined three complementary elements: cross-collateralisation against the existing French villa, a loan secured against the wine collection, and a future mortgage to be added once the new property was acquired.
The unencumbered villa in the South of France provided a strong foundation for the structure. By cross-collateralising this asset, the bank was able to offer attractive indicative terms while the clients searched for their new home. When the eventual €5 million villa was acquired, it was added to the existing collateral pool rather than requiring a full standalone mortgage approval, delivering greater speed and certainty in a competitive property market.
The wine collection proved to be a key differentiator. We identified a lender experienced in lending against fine wine, allowing the collection to remain in its existing professional storage facilities. This avoided unnecessary logistical complexity, delays, and potential risks associated with relocation. The lender arranged for an independent expert to inspect the collection locally, prepare a condition report, and validate the asset directly, streamlining due diligence and providing reassurance to all parties involved.
The wine-backed facility served multiple strategic purposes. It released additional liquidity, strengthened the overall credit profile, and supported the establishment of a private banking relationship, which was a requirement of the bank providing the property finance. As is standard in private banking, an account relationship was required, and the asset-backed facility allowed capital to be introduced efficiently from the outset.
Crucially, this structure enabled the clients to leverage their existing assets without compromising ownership or enjoyment. Their properties remained in place, and their wine collection continued to be professionally stored and appreciated, while still contributing meaningfully to the financing solution. Rather than selling assets or disrupting long-term wealth planning, value was unlocked in a controlled and strategic way.
The outcome was a highly competitive financing solution for the new €5 million villa, achieved through thoughtful structuring rather than simple leverage. By combining real estate and alternative assets across jurisdictions, we delivered a bespoke solution aligned with the clients’ relocation plans, lifestyle objectives, and long-term financial interests.
This case demonstrates how creative structuring, access to specialist lenders, and a holistic view of a client’s balance sheet can transform complex cross-border scenarios into elegant, efficient solutions, allowing clients to move forward confidently without divesting assets.
