A company found themselves in a tough spot after they had purchased a commercial property and made a 30% downpayment. Due to the Covid-19 pandemic, the local bank that was supposed to lend 70% to the company reduced their loan-to-value ratio to 50%, leaving the company in need of a quick solution. With only 7 days to spare, the company was at risk of losing their $3.25 million downpayment.
In their hour of need, the company approached Rikvin Capital for help. Rikvin Capital understood the urgency of the situation and acted quickly, conducting due diligence and underwriting, and having legal agreements drafted. In a remarkable 72 hours, the loan was disbursed, helping the company complete the purchase of the property and avoiding the forfeiture of their hard-earned downpayment.
The borrower was eventually able to find a bank to refinance the mortgage and repay their loan with Rikvin Capital. Thanks to Rikvin Capital’s quick action, the company was able to overcome a difficult situation and secure the property they had their sights set on.
- A company had purchased a commercial property and paid a 30% downpayment.
- Due to Covid-19, the Local Bank that was supposed to lend 70% to the company had tightened their lending regulations and reduced their LTV to 50%.
- The company had to quickly source for a temporary funding solution for the property within 7 days to avoid the forfeiture of their $3.25M downpayment.
- The company approached Rikvin Capital to help them complete the purchase of the property.
- To help the borrower, Rikvin capital quickly performed due diligence & underwriting, getting legal agreements drafted and disbursed the loan within 72 hours.
- The borrower subsequently found a bank to refinance the mortgage and repaid their loan with Rikvin Capital.
|Loan Amount||S$ 7,600,000|
|Duration of Loan||6 Months|
|Payment Schedule||Monthly Interest Payment|
|Asset Type||Commercial Building|
|Completion Time||3 Days|