Leasehold finance?

[Lefty_jakobz]

Hi all, newbie here so hope im posting in the right section, if not could a mod please move it, thanks.

Now the question I have relates to obtaining finance. Financing a leasehold buisness to be exact.

I have seen a commercial property that I would like to lease, having been in discussions with the company that own the buisness I have negotiated a deal that would allow me to buy the lease for buisness. What I have negotiated is to pay 10% of the asking price up front and the rest within two years, that much I can raise, they are asking for me to buy the stock, which I cant afford , upfront as part of the deal.

What I am wondering was is there companies that specialise in this kind of finance ren leasehold properties? The remaining term is 100+ years?

Thanks

I may have worded this wrong so if anyone can help, please do!

 

If the lease term is 100+ years, it will be an effective freehold and you should be able to mortgage on commercial terms, unless I am missing something here?

 

[Lefty_jakobz]

Its just over 100 years.
Would I just go to a mortgage brokerage or would I need to speak to a specialist?

 

[jim_price]

It might help if you provide some numbers.

A commerical mortgage broker may have trouble with this deal given that working capital finance is required, and we seem to have vendor loans for a good chunk of the price paid. I would suggest you talk to a couple of banks.

 

Much will depend on the nature of business, customer base etc.

Also, of course, your own background.

As Jim Price has said, figures & details will move thinngs forwards..

 

[Lefty_jakobz]

What figures are we talking about?

 

[Lefty_jakobz]

Just a bit of an update.

Figures wise I am looking for, circa 106K, for a period of 9 weeks, as its all for stock, the banks I have spoken too, are not able to offer me the finance based on the buisness being 'under licence' until all monies for the purchase of the lease paid ie two years, is there any specialist finance companies that could look into this?

Thanks again.