balmain + commercial + big deals +
Owner-occupier Office Space
August 09
| purpose | To refinance an existing loan secured by a specialized owner-occupier mixed use residential / commercial building. |
| loan limit | $850,000 |
| lvr | 70% |
| loan term | 5 Years |
| interest rate | 4.99% p.a. |
An existing Balmain client had previously chosen to fix the interest rate on their commercial loan at 9.50% p.a; a substantially high rate comparative to today’s market. With over two years remaining on this fixed rate term the client mandated our office to find a refinance alternative to take advantage of more recent interest rate reductions.
Given the specialised nature of the property, and considering the substantially tighter credit conditions in the commercial property market, finding an alternate lender with an appetite for the transaction at the required gearing of 70% LVR would generally prove difficult. However, Balmain was able to use its unique ‘market radar’ to quickly narrow down potential funders, negotiate our client’s position, and move forward.
Our office was subsequently able to provide a long-term, secure, fully flexible commercial loan at only 4.99% p.a. which will now save the client almost $40,000 a year on their repayments!
balmain + commercial + big deals +
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