First National Financial LP
mixed-use

Secondary financing for mixed-use properties

First National’s second mortgages are smart-risk solutions that enable borrowers to access capital and avoid penalties associated with breaking a first mortgage mid term.


 

Secondary financing is an attractive alternative to refinancing as it provides access to property equity that can be used to purchase another asset or renovate/repair an existing property. Borrowers with a first mortgage may be eligible for secondary financing on the same property. 

A strong operational history, property quality and location, as well as the borrower’s liquidity and net worth are key considerations for this type of financing.

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Smart risk solutions in action for mixed-use

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

To refinance the property.

  • $5.1 Million
  • 17,488 sq. ft.
  • Oakville, Ontario
  • Conventional first mortgage
  • 5 years term, 25 years amortization
  • LTV: 66%

To provide construction financing for the development of the multiresidential building.

  • $31 Million
  • 104 units
  • Winnipeg, Manitoba
  • CMHC insured construction to term financing
  • 24 months term for construction/lease period, 10 years thereafter
  • Interest only amortization, 25 years thereafter
  • LTV: 65%

Refinance under the Market Program

  • $6.5 Million
  • 71 units
  • Edmonton, Alberta
  • CMHC insured first mortgage
  • 5 year term, 35 years amortization
  • LTV: 64.88%

Funds to be used for capital repairs as well as future acquisitions and new construction of rental properties.

  • $46 Million
  • 135 units
  • Port Coquitlam, British Columbia
  • CMHC insured first mortgage
  • 10 year term, 25 years amortization
  •  LTV: 84.30%

The borrower is refinancing a conventional bridge loan used to purchase the subject property.

  • $27.6 Million
  • 138 units
  • Waterloo, Ontario
  • CMHC insured first mortgage
  • 10 years term, 40 years amortization
  • LTV: 64.60%

Provide financing for the property to complete the construction.

  • $27.2 Million
  • 95 units
  • Montreal, Quebec
  • Insured 1st mortgage
  • 24 months term for construction, 5/10 thereafter, Interest only amortization during construction, 40 years thereafter
  • LTV: 93.79%"

To replace the existing land financing with VanCity and to repatriate equity to cover pre-development costs leading up to construction financing.

  • $2.2 Million
  • 87 units
  • Victoria, British Columbia
  • Pre-development financing
  • 1 year term, interest only amortization
  • LTV: 50%"

This is an active developer / investor in the Halifax market who will use the equity towards their next development or acquisition.

  • $13 Million
  • 41 units
  • Dartmouth, Nova Scotia
  • 10 year term, 50 years amortization
  • MLI Select"

Latest resources and insights

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

Growth, Value and Risk

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The Bank of Canada kept its policy interest rate at 5.0%, a status-quo decision widely anticipated by the market.

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Expert insights

Article
Over the last week, we’ve shared some good news about First National’s growth trajectory including the fact that we’ve just become Canada’s first lender with a $50 billion commercial mortgage portfolio.

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Borrower perspectives

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We spoke to Mr. McDaniel about his perspectives on rental housing, the greatest lessons he’s learned and what he values about his relationship with First National.

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Capital Markets update

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This week’s Market Commentary reviews the Canadian GDP numbers, a look at the evolution of rates for the week and the US employment numbers. Read the commentary here.

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View other mixed-use mortgage solutions

CMHC Financing

First National’s insured financing programs are ideal for borrowers when they acquire a new mixed-used property or refinance.

Learn More: CMHC Financing

Standard Financing

First National’s standard financing programs are favoured by borrowers who look to acquire a new property or refinance 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 typically 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 enhance their tenant roster.

Learn More: Bridge financing

Asset repositioning

First National enables owners to access a property’s equity for a short term, typically two years or less, to fund capital improvements or repairs without the need to raise capital from personal sources or less flexible, higher-cost alternatives.

Learn More: Asset repositioning

Construction financing

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

Learn More: Construction financing
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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.