Commercial Mortgage Bridge Loans
Commercial Mortgage Bridge Loans from Aquamore
If your business operates in the property industry, you may be familiar with commercial mortgage bridging loans as a finance option. At Aquamore, we specialise in the provision of commercial real estate bridging loans to help our clients achieve their business objectives and complete development purchases that contribute significantly to the overall Australian economy. Whether you’re purchasing land in preparation for a new housing development or are looking to purchase an existing residential or commercial block, our finance solutions can help you progress with your project.
When would I require a bridging loan?
Bridging loans are typically used as an interim finance option while longer-term funding from a traditional lender is secured. If you’re purchasing a site or property whilst waiting to release capital from existing development projects, a commercial bridge loan can facilitate the purchase without holding up the sales process.
What are the benefits of acquiring a commercial mortgage bridging loan?
By securing a bridging loan, it allows your workflow to maintain momentum and reduces the risk of capital being unnecessarily held up in an unfinished project or development. Having the interim funding of a bridging loan in place can also give you more leverage during property negotiations or competing for a particular site prior to your long term financing being put in place.
Why should I choose Aquamore for my loan requirement?
Established in Australia in 2016, the Aquamore team has a wealth of industry knowledge and experience when it comes to financial lending to support commercial ventures. We have provided in excess of $100m AUD in commercial loans since our inception and pride ourselves on our expertise and professional approach. Aquamore is fully licensed with an unblemished track record when it comes to lending and offers flexibility to our clients due to our ability to quickly turn around applications with funds deposited in as little as 48 hours from approval.
How much can I borrow and what are the repayment terms?
Aquamore can facilitate loan applications of between $200,000 and $30m AUD. Repayment terms are subject to the individual circumstances of each application although as a representation, first mortgage rates start from 6% per annum while second mortgage rates are offered from 1.2% per month with our secured loans incurring an establishment fee of 2.2%.
Do you have a working example of one of your commercial loans?
Below is a summary of an arrangement recently agreed with a client looking to purchase land in order to develop residential housing sites.
Facility Size: $3,490,500
Facility Requirement: Land acquisition for multiple affordable housing developments
Use & Structure: The Facility assisted a developer with the financing of five building sites located in QLD and Schofields, NSW. Based in NSW, the Australian-owned building company specialises in developing affordable housing.
Loan Term: 12 months
Key Ratios: Maximum Loan-to-Value Ratio (LVR) < 60%. Loan interest paid monthly.
- First registered mortgage security over all five properties
- First Ranking General Security Agreement over all the assets and undertakings of the Borrower
- Share Mortgage over the Borrower
- Directors’ and/or Personal Guarantees of the Borrower
Can I discuss my individual circumstances with you in more detail?
If you’re looking into ways to finance a current or planned commercial real estate project, a member of the Aquamore team will be happy to talk to you about your funding options. You can apply now via our application form or call our Head Office in Sydney to discuss your requirements.