Funds for private commercial investors

THE Gold Coast's commercial property market is currently dominated by private investors and owner occupiers in search of quality products ranging between $1 million and $10 million, says Benjamin Heaney, of Drexel Financial Services.

As a finance professional for many of the Gold Coast's high-end property market participants, Mr Heaney says he has witnessed a noticeable shift in favour of commercial property acquisition in the past 12 months.

"Select lenders have followed this trend with interest, with some lenders opting to lead the race to introduce new and tailored products specifically for 'private' commercial property investors," he says.

"Previously, commercial finance was an onerous process, with the lender requiring two years' financials and tax returns to lend at a relatively low LVR (loan to value ratio) of 70 per cent. This meant that private investors were required to come up with a 30 per cent deposit.

"This was often seen as a drain on capital resources which could be more efficiently used elsewhere," he says.

Mr Heaney says the new wave of commercial loan products includes LVR positions to 85 per cent and LVR positions to 80 per cent LVR without having to verify income through financials.

"This has significantly facilitated commercial property acquisitions for private investors and owner occupiers," he says.

Drexel Financial Services has undertaken significant due diligence on a range of mainstream and boutique commercial products.

Help us deliver quality journalism to you.
As a free and independent news site providing daily updates
during a period of unprecedented challenges for businesses everywhere
we call on your support

A game changer? Aspiring to the new standard on workplace mental health
Partner Content
Work health and safety regulators have been more active in the area of mental health ri...
Aon
Advertisement

Related Stories

NSW eases border restrictions with ACT and Queensland

NSW eases border restrictions with ACT and Queensland

As the Australian Capital Territory leaves lockdown today and Queen...

Pfizer jab closer to approval for children, IDT to make new Monash vaccine

Pfizer jab closer to approval for children, IDT to make new Monash vaccine

Australian children aged five to 11 years of age could receive Pfiz...

Virgin Australia to lift flight capacity linking QLD tourism hotspots with SA, Tasmania

Virgin Australia to lift flight capacity linking QLD tourism hotspots with SA, Tasmania

Virgin Australia is set to add almost 150,000 more seats in flights...

Toll workers secure “industry first” superannuation and job security offer

Toll workers secure “industry first” superannuation and job security offer

UPDATE (11.04AM AEDT 14 October): Toll has issued a statement ...