Land development loans are available through our institutional, sub prime, and private lending sources for projects in the Toronto area, Greater Toronto Area, and Southwestern Ontario.
Depending on the project, the majority of financing we put in place for things like installing services and infrastructure related to a vertical construction build requires an equity driven financing solution as their is no review at the land development stage to service debt.
As a result, many property development loans are provided by private mortgage lenders, especially when the amount required is under $2,000,000 and only a second mortgage position is available to the lender.
Larger property development loans can also be arranged but through institutional or sub prime sources.
For Ontario based projects, we are able to secure financing before and after approvals are in place which can be crucial to keeping the project on track during a permitting and approval process that can take weeks and months longer than anticipated.
Financing can be arranged from projects that are just in the planning stage as well as projects that are well under way or even near the end where additional capital is required to complete the remaining work.
The first step in determining your land development loan options is to give me a call so we can quickly review your situation on the phone together and get right into discuss the most relevant options that are available to you.
Our assessment process does not come with any cost or obligation to you and we try to complete it as quickly as possible so that no time is being wasted determining if we can help you or not.
Give me a call at 416 464 4113 to book a time when we can discuss your financing requirements. If you get my voice mail, leave your name, number, and best time to call and I’ll get back to you as soon as I can.
When it comes to the refinancing of a commercial property, most people think that the lending decision is primarily going to be related to the value of the building.
And while real estate security value is certainly a primary criteria for refinancing a commercial mortgage, its not going to be the only aspect of the deal that will be under consideration.
The reality this there can be a multitude of items related to the business and a commercial lender can focus in on when reviewing a commercial mortgage refinancing application and so it becomes important for a consultant or broker providing financing assistance to fully understand the deal so that a highly relevant fit can be made between borrower and lender.
For instance , other than the value of the real estate, the first thing a lender is going to review in a refinancing application is what the use of funds is for. If refinancing is related at all to business distress, the financing options will likely need to become more focused on sub prime and private mortgage options. If the use of funds is for growth of an already profitable company, then there will be more bank or conventional “A” mortgage options available to the applicant.
In situations where the deal falls out of “A” lending criteria, there can still be a wide range of options available, especially in the Toronto and Greater Toronto Area.
In these subprime and private mortgage lending situations the objectives can also be varied by the situation which will also impact the lender target. For instance, does the refinancing require any additional capital or do we strictly need to refinance the outstanding balance of the existing lender? Are we trying to refinance more than one mortgage? Is the existing mortgage up to date or are we going to be asked to financed accrued interest, arrears, and potentially property taxes? How much time will the new mortgage be required for and what will be the exit strategy to repay it?
The point here is that specific requirements of the refinancing request and the specific financial and credit standing of the business that owns the commercial property will dictate the available lending options in addition to the real estate value and the projected loan to value that will result.
If you’re looking to refinance a commercial mortgage in Toronto or the Greater Toronto Area, I suggest that you give me a call so we can discuss in detail the requirements of the request as well as the existing financial profile of the business so we can quickly determine the most relevant commercial property financing options available to you.