There are situations where purchasing a commercial property whether it be an office, manufacturing facility or possibly even buy-to-let properties makes business sense.
Property Portfolio Builder
Many property businesses suffer shortages of cash from time-to-time. This may be caused by late or missed payments by tenants, long voids or costly repairs and refurbishments. Funds may also be needed to complete an existing development or extend the property portfolio.
This is a specific product aimed at established UK property businesses that own one or more commercial properties, (which includes buy-to-lets) that wants a flexible bridging facility from £26,000 to £2,000,000.
The facility operates in one of two ways, either as an equivalent second charge bridging loan, but where a much higher than standard loan to value is required. Otherwise it is similar to a normal bank overdraft which helps flatten out the peaks and troughs of late rental payments and can allow the release of funds to carry out repairs and improvements.
The Portfolio Builder facility allows the property business owner to smooth out the ‘peaks-and-troughs’, and where possible take advantage of market opportunities. If this is of interest to you then ask us for more information.
Purchasing rather than renting a commercial property may be a good option for your business, especially if you plan to make changes to the building or plan to operate from that base for the long term. Commercial mortgages can be approved for up to 80% of the value of the property on a term of up to 25 years. They can even include the option to pay interest only, at least for a set period of the loan.
If you would like more information or a free consultation on commercial property finance please fill in the contact form with “property” in the subject line or you can email or call us to discuss how we can help you find solutions to any issues you may have.