Mixed Use Commercial Property Financing Loans and Lenders
Mixed-use commercial usually contains a combination of a commercial building, most often office or retail space as well as residential living units or apartments. Many times the living units are above the commercial space and sometimes the apartments are behind or beside the commercial space. While mixed-use property financing loans are inviting to investment buyers or owners because of the commercial income that they generate, lenders are often wary if a high percentage of the property’s total income is generated by the commercial side rather than the residential side. We will analyze your mixed-use property loans and financing request for your commercial transaction and assist you in arranging it to maximum advantage in order to generate the widest possible acceptance among lenders.
They may consist of apartments and commercial retail stores or offices in the same building. Apartments with a dance studio, fitness center or restaurant in the same building are other examples. Sometimes they’re referred to as creative financing mixed use loans due to the different types of funding resources available for this property type. Many conventional commercial lending sources all over the country will often turn down smaller amount requests. Often, the borrower’s credit is good and the property is sound. They just don’t want to handle the smaller amounts. Because of this, a lot of deserving business owners do not get necessary funding they need. MFI will work with you to close that smaller financing that others will not handle.
Funding is arranged through various commercial lenders to provide the overall funds needed for a business to proceed with a start-up, expansion or purchase. Amounts as low as $100,000 to $20 million and up. These properties are qualified based on the income/expense ratio of the property and cannot exceed 1.25% in most cases.
You can apply for financing mixed use property loans online and get offers at competitive interest rates and fees. If these properties are set up properly, they are actually preferred over other types of commercial properties by many lenders. Interest rates and fees are but only two aspects of the many different concerns in obtaining financing for these properties. Terms such as fixed or variable rates, short or long term obligation, recourse or non-recourse, prepayment penalties, lockouts and other important factors all play into your decision making process. We will help you decipher all these things and arrive at a program that makes sense for your particular qualifying situation.
We have representatives that have years of commercial lending experience. Weather you want to refinance your investment for debt consolidation, purchase a new building or build an addition to you current one, our team will help you design a funding program that is right for you and your organization’s financial situation.