Commercial Property Refinancing — $400,000
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Catalyst Private Credit > Commercial Property Financing > Commercial Property Refinancing — $400,000
The situation
The owner of a small commercial property has an approaching mortgage maturity and plans improvements to the building. They are seeking financing that addresses both needs.
Proposed structure
A proposed $400,000 loan secured against the property. Funds would first repay the existing mortgage and closing costs, with any approved balance allocated to improvements. The structure would depend on the property's value, rental income, existing obligations, and repayment plan.
Intended outcome
Replace the maturing financing and provide an approved budget for improvements, supported by a payment schedule suited to the property's cash flow.
At a glance
- Amount: $400,000 (illustrative)
- Security: the commercial property
- Use of funds: repay the maturing mortgage and closing costs, with any approved balance for improvements
- Repayment: a payment schedule suited to the property's cash flow
What the review considers
Factors assessed in a structure like this:
- Property value and rental income
- Existing obligations and the maturing mortgage
- The improvement budget and approvals
- The repayment plan
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Scenario:
Commercial property owner -
Status:
Illustrative example -
Category:
Commercial Property Financing -
Amount:
$400,000 -
Share:
ILLUSTRATIVE FINANCING SCENARIOS
How financing could be structured. Hypothetical examples only; not completed Catalyst Private Credit transactions.
Have a transaction in mind? Share a brief overview and the date you need funding, and we can begin by identifying the information needed for a review.
