There is a lot of enquiry for funding to provide the gateway to refinance with a traditional lender, like this recent scenario:
SCENARIO: An investor sought ~$300K to complete the purchase of a non-trading freehold petrol station in Tasmania via a fully-drawn advance (interest only) loan. Upon renovating and opening the store, the client will refinance to a mainstream lender once the business is trading with full financials.
AMOUNT: $313,500
SECURITY: Non-metro, non-trading petrol station
RATE: 8.95%p.a.
LVR: 55%.
TERM: 24 months
LOAN TYPE: Commercial property loan
EXIT STRATEGY: Refinance to a mainstream lender once the store is renovated, open and trading with full financials.
