About our property solutions
Purchasing commercial and industrial property will always be an attractive venture as an entrepreneur – either to secure tenure for your own business operations or as a sound long-term investment.
For SMEs renting premises may seem to offer greater flexibility than ownership. However, long-term tenancy is not guaranteed and improvements and alterations made to rented premises will be lost if the lease cannot be renewed.
By owning your property you are not only securing a place to trade for as long as you choose, but it will also grow the overall equity of your business. Calculations show that by purchasing property for your own use, you can save up to 50% on premises costs over a 10-year period, without compromising your business’ cash resources.
For entrepreneurs looking to add a property component to their investment portfolio, multi-tenant properties are attractive and viable options, as they provide both capital appreciation and rental incomes. We offer investment financing solutions for a wide range of commercial and industrial premises and the expertise to match the needs of each individual business and/or entrepreneurial investor with the right property.
Property finance solutions
These include:
- The purchase of retail and industrial complexes valued up to R85 million.
- Co-investing in retail, industrial and other commercial investments valued up to R150 million.
- Finance of up to 110% of the purchase price for owner occupied business properties (subject to terms & conditions).
- The purchase of business properties for leasing back in order to unlock capital for business expansions.
- Up to 100% finance on existing business occupied properties to unlock capital for business expansion or other requirements (subject to terms & conditions).
- Tailor-made property financing solutions.
Applications are considered in all sectors of the economy with the exception of on-lending activities, direct farming operations, underground mining and non-profit organisations.
Please note, applications for financing below R500 000 are usually not considered; and we do not operate in the informal or micro-enterprise sectors.
Property Joint Venture Fund criteria
| Size of the Fund |
R250 000 000 |
| Geographical Spread (include BPI link) |
National
|
| Financing Period |
Ideally up to 10 years.
|
| Minimum and Maximum |
R500 000 to R30 000 000 for Joint Ventures
|
| Own contribution requirements |
Proportionate share of the equity for Joint Venture deals only.
|
| Entrepreneur – Relevant experience |
Not essential
|
| Own contribution |
Investor’s contribution (Business Partners and entrepreneur) of equity in the investment dictates the shareholding percentage.
|
| Application documents |
- Details of property and supporting documentation.
- The entrepreneurs’ latest personal assets & liabilities.
|
| Business that qualify for the fund |
- Retail, industrial, and commercial multi tenanted properties with a value from R2m to R120m.
- Industrial leasebacks will also be considered.
|
| Exclusions |
- Residential properties
- Agricultural
- Mines
|
| Purpose of the funding |
- Purchase of a property that requires either equity, finance or both.
- Refinancing of an existing property.
|
Source: http://www.businesspartners.co.za/
Business Partners (Owner)
