The pandemic brought about unexpected challenges for many, including a large family office in Singapore. With the sudden need for working capital for their other investments, the family office found themselves in a difficult position as banks had tightened their lending criteria during the pandemic.
That’s when they turned to Rikvin Capital for help. The family office approached Rikvin Capital for a short-term working capital loan, which was secured against one of their shophouse units located in the central business district.
Rikvin Capital thoroughly evaluated the property and borrower, and ultimately approved a loan amount of 5.8 million USD with a loan-to-value ratio of 70%. This loan allowed the family office to overcome their liquidity issues and keep their other investments running smoothly.
Once the family office was back on their feet, they redeemed the loan with Rikvin Capital. With the help of Rikvin Capital, the family office was able to navigate the challenges posed by the pandemic and emerge successfully on the other side.
Problem
- A family office had liquidity issues during the Covid-19 Pandemic.
- They needed money for working capital for their other investments.
- Banks had tightened their lending criteria during the pandemic.
Solution
- The family office approached Rikvin Capital for a short-term working capital loan secured against one of their shophouse units in CBD.
- Rikvin Capital performed due diligence on the property and borrower and lent 5.8M USD (70% LTV).
- Once the family office had resolved their liquidity issues, they redeemed their loan with Rikvin Capital.
- Location: Central Business District, Singapore
- Market Value: USD 8,300,000
- Loan Amount: USD 5,800,000
- Loan-to-Value: 70%
- Duration of Loan: 3 Months
- Payment Schedule: Balloon + Monthly Interest Payment
- Asset Type: Shophouse
- Completion Time: 3 Days