balmain + commercial + big deals + november 2008
Increase liquidity
November 2008
| purpose | The client has a well diversified property portfolio of approximately $100,000,000 in value which has been financed across separate lenders in order to provide maximum flexibility. The finance for this particular portfolio has been exclusively managed by Balmain over the past 8 years. The client sort to increase their exposure against a recently refurbished building on the Brisbane CBD fringe by $3,000,000 to add liquidity to their cash position. At the same time they also requested to extend the facility term to ensure the facility would not be subject to review in the near term. |
| loan limit | New facility - $22,000,000 |
| lvr | 65% of the property valuation |
| loan term | 5 year variable rate |
| interest rate | 6.15% current variable rate |
In a testing credit climate Balmain conducted a “tender” of the debt market to provide a long term, interest only facility at the most competitive interest rate margin. Balmain’s Market Radar enabled the initial tender to be completed within a 5 day period thus saving the borrower significant time and money.
As part of this process Balmain were able to maintain the borrowers asset segregation requirements which ensured on-going flexibility. Asset segregation has been a fundamental and significant part of the groups success.
The bottom line: In the current climate of financial dislocation and ever tightening credit Balmain is better placed than ever to deliver you flexible funding at the best rate.
balmain + commercial + big deals + november 2008
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