Author Login | Popular Articles | RSS Feeds | Sitemap

Home | Business


Funding For New Commercial Developments

By: Abbots Finance

There's no slow-down in the number of commercial developments, both out-of-town and in city centres. Most commercial development consists of units that are refurbished or newly built and then sub-let to companies. It is this sub-letting that is often the key to obtaining good levels of development finance.

Commercial developments include:

- Office space
- Production areas
- Warehousing
- Leisure facilities
- Retail outlets

Anything that houses a business of any type is categorised as a commercial development, and getting funding for these developments can be difficult. Choosing a specialist finance company can help, but they expect to see detailed plans that show how the development will progress and the type of returns the developer is expecting:

- Use - the finance provider will want to know what uses you are planning for the development as this will have an impact on the chargeable rents.

- Pre-let - it helps if some or all of your development is pre-let as this gives your lender some comfort as to returns and also helps to calculate what those returns will be.

- Sales - if you are planning to sell the whole development to an institutional or long-term investor, you should make this clear to your finance provider. This type of guarantee can encourage providers to lend you a greater percentage of the total cost.

- Project management - finance companies expect commercial developments of any scale to be properly and professionally managed. They will want to see evidence of past successes in this field, or something that suggests that the project team will be able to complete the development on time and on budget.

- Funding levels - the lender will obviously need to know how much money you want to borrow and see evidence of your plan to repay the loan. For this reason it is vital that you have prepared a detailed budget and that you show a forecast return on yours and their investment.

Buying and developing commercial property is not without its hazards, but with the right financial backing, a clear plan and experienced people on the project, a successful commercial development is achievable.

Article Source: http://www.articlesnatch.com

About the Author:
Abbots Finance specialises in development finance for residential and commercial projects. Visit our website by clicking on Development Finance

| Print | Ezine Ready | |

Recent Business Articles

  • You Should Face Common Membership Site Challenges By: Poonam Rani - Membership Sites -Way to face Common Membership Site Challenges is one of the most lucrative business models on the internet? Some of the benefits include earning continual income, incurring less advertising expenses, earning the trust and respect of members, building your reputation, and being able to make various offers to members. Membership sites can be very profitable indeed; but maintaining them is no walk in the park, especially if you don't have the proper knowledge or experience.
  • Blog: Powerful Marketing Medium By: Vaseem M Yasin - Ever wonder what a blog is, and why it is so phenomenal on the internet? Ever felt like flogging’s just a waste of time? Find out more... the reasons why millions are blogging on the internet, and why they are so engrossed in it. You'll be amazed at what blogging can do for you. Don't lose out, join in the fun. It's such a thrill! Yes or Yes? Say YES to Blogging! Blogging is the in-thing on the web.
  • Online Forex Trading is the New Hot Wave and its Time to Jump On and Enjoy the Ride to Prosperity By: William R Alheim, Jr. - Where, when and what is the question we are all asking ourselves in this new financial environment now encompassing the world. As droves of investors lost there life savings in the global stock market crashes the currency traders step in and made record profits due to the predictability of currency movements during this unforeseen economic disaster.
  • How and Why Marketing and Advertising are Not the Same By: Marge Reed - Often Advertising and marketing are used interchangeably, but they refer to different activities. Marketing is the whole game while advertising is just one play. Marketing comprises all facets of research, product branding, advertising and sales. Advertising, on the other hand is a component of the marketing process that conveys the message through variety of mediums to promote the product. The most costly part of the marketing a product may be advertising.
  • How to Enjoy More Entrepreneurial Success by Increasing Your Know-How with Practical Learning By: Donald Mitchell - Many people would like to start their own businesses and prosper. Unfortunately, few people are properly prepared to succeed as entrepreneurs. Before starting a new business, gaining any practical knowledge they lack, learning what would pay off in producing better growth, profits, and cash flow, would help new leaders to succeed. To understand what kind of education new business leaders need, let's consider how successful new ventures were once directed.
  • Forex Day Trading and the Race for Wealth and Financial Independence By: William R Alheim, Jr. - Where to go and how to get there, that is the question we are all asking ourselves constantly. If one of the places you desire to reach is a Pacific island beach while sipping rum fruit drinks with little fruit toppings served by bikini clad waitresses then Forex day trading can get you there.
  • How Advertising and Marketing Differ By: Marge Reed - Although the two terms sound similar, in reality they are not. Marketing is the whole game while advertising is just one play. Marketing comprises all facets of research, product branding, advertising and sales. Conveyance of the message to the consumer or potential buyer is the role of advertising. Advertsing is a principal part of any marketing plan and the most costly. The ground work to find an appropriate group to target is also part of the advertising.
  • Cultured Stone Versus Natural Stone Fireplaces: Pros and Cons By: Sams Peter - Looking to boost the beauty and value of your home with a stone fireplace? Think about it: stone is as sturdy and as classic as the best investments come. If you are mulling over the stone to use in your new construction project, check which do you think will fit into the style, weather and feel of your home; it's either going to be in natural stone or cultured stone. Natural stone is the investment per excellence;
  • Forex Currency Trading is a Path to Quick Riches and Long Term Prosperity By: William R Alheim, Jr. - If you desire to change your life forever and are in need of accomplishing this in a rather quick fashion, there is no other form of investment that can do this sooner or safer than the Foreign Exchange Markets (Forex or FX.) In fact, investing in the currency markets is one of, if not the safest forms of investments compared to the stock markets, business ventures or real estate.
  • Are You Ready For The Work at Home Mom Revolution By: Tod Dale - Giving up your job to work from home, or perhaps merely examine the waters to consider if it's achievable is a HUGE step for a working mom. Moms who make their living working from home frequently discover themselves the envy of those who hold down "actual" 9-5 jobs, but unless you're among those moms who work from home, you in all likelihood aren't mindful of the challenges involved.

Search Ebay

Still can't find what you are looking for? Search for it!


Submit Your link to the Open Link Directory Project

Copyright 2005-2008 MJE Sales, LLC. All Rights Reserved.
Proud member of the ArticleCkr Search Network Search Network!
ArticleSnatch.com is free for both publishers and authors to use and is supported entirely from advertising revenue.
Use of our service is protected by our Privacy Policy and Terms of Service.