Hi PI Forum
I am currently searching/acquiring commercial properties (Light Industrial and Office space) in both Metropolitan and Regional areas. I have found CFP deals, however, I am having some difficulty obtaining finance mainly because;
1) New Entity structure
2) Low LVR requirement from Commercial Lenders
I realise the risks involved in being over leveraged, especially in the commercial market.Quality tennancies seem to not offer the attention of commercial lenders.
Has anyone else made the same observations or similar problems. There must be a new lending product out in there market to fulfil the needs of Commercial Property Investors.Regards
BrendanThere are commercial products out there for anything and all LVRs are covered. Some are cheaper than others [biggrin]
Have you spoken to a good commercial broker?
Cheers,
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Hi Brendan
The new entity structure would have little bearing on obtaining finance as I note from your post you will not be occupying the building.
Normal LVR for such a Commercial property would be circa 70/75% although we do have one lender who will go to 80% if the tenantcy is strong.
Cheers Richard
Ph: 07 3720 1888
[email protected]
http://www.yourstatefinance.comSpecialising in US & IP finance.
Richard Taylor | Australia's leading private lender
These guys will do up to 85% for commercial – http://www.globalcapital.com.au/Products/Property/Term%20Loans/High%20LVR.html
Cheers
Stu
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