Summary

• Loan Type: Bridging Loan secured with a First Mortgage
• Location: Sydney, NSW
• Loan Amount: $1.8 million
• Loan-to-Value Ratio (LVR): Approximately 70%
• Challenge: Settlement delay on the sale of an existing property threatened the purchase of a new commercial property
• Solution: Bridging Loans provided a $1.8 million bridging loan, allowing the client to move ahead with the purchase while waiting for their property sale to finalise

The Challenge: Timing Risk Put Growth Plans on Hold

A Sydney-based small business owner had the opportunity to purchase a prime commercial property that would support their growth. The issue? The sale of their current premises was delayed, creating a funding gap. Without fast access to capital, they risked losing out on the new property altogether. Traditional lenders couldn’t move quickly enough to bridge the timing mismatch, leaving the business in a difficult position.

How a First Mortgage Bridging Loan Works

A first mortgage bridging loan is designed for situations exactly like this — when timing between buying and selling doesn’t line up. The loan is secured against the borrower’s existing property and provides immediate access to funds to complete the purchase.

Key features include:

• Security: The loan is secured by the current property
  
• Loan Amount: Based on available equity and the value of the new acquisition
  
• Term: Usually short-term, anywhere from 1 to 6 months
  
• Repayments: Often interest-only, with the full loan paid back once the property sale goes through
  

This structure gives business owners flexibility and speed when opportunities can’t wait.

Bridging Loans’ Solution: Fast, Flexible, and Structured for Success

We stepped in quickly to arrange a $1.8 million bridging loan secured by a first mortgage. The solution was tailored to the client’s needs and included:

• Speed: Fast approval and settlement to meet tight deadlines
  
• Cash Flow Relief: Interest-only repayments to keep operating costs manageable
  
• Flexibility: Loan terms aligned with the anticipated sale of their current property
  

With funding secured, the client was able to move forward with the acquisition without delay. This meant business continuity was protected, and future growth wasn’t put at risk.

How Bridging Loans Can Support You

When timing issues threaten your plans, we know how stressful it can feel. That’s why we specialise in providing short-term lending solutions that help business owners move forward with confidence.

Our team works with you to understand your situation, structure the right loan, and move quickly so you don’t miss opportunities.

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