Acquisition Loans

Some goals need a helping hand to reach. If you are looking to add a commercial property to your portfolio and already have an acquisition strategy in mind, financing is rarely the hard part — finding the lender whose current appetite matches your asset class is.

Advice alongside the money

We have provided acquisition advice on a great many projects, and the consultation runs in both directions. Frequently we will look at a deal and see something the buyer has not: a structure that preserves more capital, a lender who prices that particular property type better, or a term that will cause trouble in year three.

That is worth having before you are committed. The result is convenience and efficiency that most borrowers do not get from a single-institution relationship.

Built on a flexible structure

That flexibility is not a slogan. Every investor and every transaction is genuinely different, and the right deposit for a stabilised multi-family purchase is not the right deposit for a value-add retail centre with two vacancies.

Where acquisition financing usually goes wrong

Starting too late. Buyers routinely go under contract and then start looking for money. Better to know your terms before you sign, so the contract deadlines are ones you can actually meet.

Underwriting to the seller's numbers. A lender will underwrite to what the property actually produces, not the pro forma. If there is a gap between the two, find it before the appraisal does.

Ignoring the exit. How you will refinance or sell in five years shapes what you should borrow today. Prepayment provisions written now determine whether you have any freedom later.

Talk to us early

Many people come to Guardian at the initial stages of acquisition planning rather than after the contract is signed, and those deals go better. We are here and ready to listen — contact us today or submit a loan request and we will come back to you.