A commercial mortgage is simply a mortgage with which a company or an individual can purchase a business property, either for their own use or to lease to a third party. With this type of commercial loan, the mortgage provider retains a legal claim over the property until the loan has been paid back.
Commercial mortgages can be obtained to facilitate the purchase of a wide variety of business properties, including:
- Farms and other agricultural properties
- Land for development
- Pubs, hotels, guest houses and bed & breakfast establishments
- Restaurants and fast food outlets
- General industrial properties, including warehouses and factory units
- Office accommodation
- Retail units
- Commercial buy to let properties
A commercial mortgage can also be used for the development or refinancing of an existing business; for example:
- Expansion or refurbishment of a business property
- Buying out a partner’s share of a business property
- Current tenant purchasing the freehold of a business property
- Consolidation of existing loans at a lower rate of interest
Please get in touch to discuss your commercial mortgage needs.