First National Financial LP
industrial

Short-term financing to reposition or renovate industrial properties

 

First National assists borrowers ready to enhance their industrial properties' value through capital improvements.



 

This short-term financing option, typically up to two years, enables access to a property’s equity to fund capital improvements or repairs and eliminates the need to raise capital from personal sources or less flexible, higher-cost alternatives. 

The goal is usually to increase rents and/or reduce operating expenses to increase the value of the property and make it eligible for standard financing.

The borrower’s expertise, net worth, and liquidity, as well as the location and quality of the property are key considerations for this type of financing.

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Economic and political developments – both in Canada and globally – can impact the commercial real estate market. First National experts follow these trends closely and provide honest, real and professional perspectives into what they could mean for your portfolio.

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Smart risk solutions in action for industrial

See how we’ve applied our financing products innovatively to help industrial borrowers achieve their goals with performance and value.

Refinance to pay out of an existing mortgage and a credit facility secured by the borrower's real estate portfolio

  • $3.9 M
  • 25 units
  • Iqaluit, NU
  • CMHC insured first mortgage
  • 10 years term, 40 years amortization
  • LTV: 65.1%

Refinance of an existing mortgage and equity extraction for capital repairs for other rental properties

  • $3.6 M
  • 54 units
  • Ottawa, ON
  • CMHC insured mortgage
  • 10 years term, 40 years amortization
  • LTV: 32%

Refinance of an existing debt and equity withdrawal for capital improvements

  • $5.6 M
  • 16 units
  • Montreal, QC
  • CMHC insured mortgage
  • 5 year term, 50 years amortization
  • LTV: 92.1%

Refinance to pay out an existing debt and equity takeout for future capital improvements

  • $1.6 M
  • 5 units
  • Toronto, ON
  • CMHC insured mortgage
  • 5 year term, 40 years amortization
  • LTV: 65%

A new CMHC-insured mortgage to pay out the construction loan used to build the property

  • $5 M
  • 10 units
  • Ottawa, Ontario
  • CMHC insured mortgage
  • 10 year term, 40 years amortization
  • LTV: 85%

Refinance with a cash injection to pay out an existing mortgage with another lender

  • $2.3 M
  • 6 units
  • Toronto, ON
  • CMHC insured mortgage
  • 5 year term, 40 years amortization
  • LTV: 84.7%

Acquisition of two identical properties comprising a total of 32 units

  • $5.6 M
  • 32 units
  • Boisbriand, QC
  • CMHC insured mortgage
  • 5 years term, 50 years amortization
  • LTV: 83.07%

Refinance of an existing mortgage to access equity from the property for capital improvements of the borrower's other properties

  • $2.4 M
  • 35 units
  • Clarenville, NL
  • CMHC insured mortgage
  • 5 years term, 30 years amortization
  • LTV: 73.3%

Latest resources and insights

Original perspectives and personal viewpoints on developments and industry trends in commercial real estate.

Growth, Value and Risk

Even though the Bank of Canada reduced its policy interest rate in both June and July, the Bank was at it again today. Read the summary here.

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Expert insights

On June 5th, Canada became the first G7 nation to reduce interest rates and followed that precedent-setting move with another 25-basis point decline on July 24th.

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Borrower perspectives

Founded in 1992 in Leamington, Ontario, Piroli Group started in general contracting (under the name of Piroli Construction) but has evolved into a multi-faceted development group.

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Capital Markets update

Article
First National’s, Jason Ellis, provides an overview as well as an update of the markets including rate, Government announcements and changes to the Commercial mortgages. Read an overview here.

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View other industrial mortgage solutions

Standard Financing

First National’s standard financing programs are favoured by borrowers when acquiring a new property or refinancing an existing building. Loan terms typically range from three to five years, have a fixed interest rate, and are closed to prepayment for the term’s duration. 

Learn More: Standard Financing

Bridge financing

First National’s bridge loan terms usually range from three months to three years, include floating interest rates and allow some form of early prepayment. Borrowers choose this solution until standard financing is secured or while they contemplate a property sale, a change in ownership structure or complete operational improvements. 

Learn More: Bridge financing

Secondary financing

A First National second mortgage enables borrowers to access the equity in a property and use it to purchase another asset or renovate/repair their existing property. 

Learn More: Secondary financing

Development / Construction

A First National construction loan provides funds to cover the cost of building or rehabilitating a property with terms typically of three years or less.

Learn More: Development / Construction
city

Sign up for Market updates

Economic and political developments – both in Canada and globally – can impact the commercial real estate market. First National experts follow these trends closely and provide honest, real and professional perspectives into what they could mean for your portfolio.