$4.2M Commercial Refinance and Purchase Funded at 90% LVR With No Cash Contribution

The Brokerage recently secured a $4,198,500 facility for a strong trading business, funding both the refinance of its existing commercial properties and the purchase of an additional premises to support the client’s expansion, with no cash contribution required at settlement.

Our client already held two commercial properties, including their existing business premises, and needed to complete the new purchase without contributing cash upfront. The challenge was structuring a facility that could unlock equity across the existing portfolio while funding the full purchase price and associated costs.

Key highlights of the transaction include:

• Equity unlocked: We refinanced the debt secured against both existing commercial properties, releasing equity to fund the entire new purchase plus costs.
• High LVR structure: The facility was structured at a 90% LVR, delivering a total loan of $4,198,500 while preserving the business’s working capital.
• Repayment certainty: A 30-year principal and interest structure at 6.99% provided long-term certainty and manageable cash flow as the business continued to expand.
• Surplus at settlement: The client retained approximately $340,000 in surplus funds at settlement, with no cash contribution required to complete the purchase.

Following a detailed review of the client’s portfolio and broader financial position, The Brokerage funded the purchase and refinance in a single structure, supporting the client’s expansion without tying up business cash.

Purpose: Commercial refinance and property purchase to support business expansion

Profile: Warehouse / industrial commercial property

Loan Size: $4,198,500   LVR: 90%   Rate: 6.99% P&I