other-properties

Storage

Standard financing

Properties with stable cash flow and consistent operating histories are favourable candidates for standard financing. For alternative assets, this can mean properties that are fully or nearly fully leased, have a majority of tenants on long-term leases and can display a consistent history of strong tenancy.

Standard financing offers a term of five years or more, a fixed interest rate and is typically closed to prepayment for the term’s duration. For alternative, conventional is the most common type of standard financing.

Standard financing is usually considered when borrowers want the payment predictability that comes with a fixed interest rate. However, it is important to note that a typical conventional financing term for an alternative asset is five years. Longer terms are available, but there is often greater scrutiny on future cash flows. Borrowers must be able to show that longer-term leases (i.e. maturing in 10 years or more) are in place for the duration of the mortgage term.

Commercial Mortgage Backed Securities (CMBS): CMBS is a conventional financing solution available for first mortgages on established, stabilized properties (generally three or more years of stable operating history). This type of financing works well for properties with in-place, stabilized net cash flow.

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.

Subscribe

Smart risk solutions in action for storage

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

Provide financing to convert an existing industrial property

  • 15.7 Million
  • 46,793 sq. ft.
  • Toronto, Ontario

80% of cost conventional construction financing

  • $3.36 million
  • 4,040 sq.ft.
  • Antigonish, NS

Latest resources and insights

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

Growth, Value and Risk

Article
The BoC made some encouraging statements about the state of the economy. Here is a summary.

View all

Expert insights

Article
Thomas Kim, Vice President and Managing Director, Capital Markets at First National shares his perspectives on recent economic and market developments and what they may mean for the future.

View all

Borrower perspectives

Article
Tavish Rai, Abstract’s Chief Asset Officer and Partner, shares his perspectives about Victoria’s current evolution, Abstract’s shift in focus back to market housing and why First National’s industry knowledge and responsiveness are so valuable.

View all

Capital Markets update

Article
Neil Silverberg, Senior Analyst with First National’s Capital Markets team reviews the latest news in rates and curves, what it means for you, the recent employment numbers and more in this week’s Market Commentary. Read the commentary here.

View all

View other storage mortgage solutions

Short-term (bridge) financing

Bridge financing addresses a borrower’s short-term needs, usually three months to three years.

Learn More

Repositioning / Renovating

This short-term financing option enables access to a property’s equity for improvements, renovations or repairs, eliminating the need to raise funds from personal sources.

Learn More

Secondary financing

Second mortgages are often used to access equity in a property when a borrower wants to purchase another asset or renovate/repair a property.

Learn More

Development / Construction

Construction financing is available for condominiums, retail, office, industrial, retirement and purpose-built apartments. 

Learn More
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.

SUNPFNWEB05