Hotel Owners Secure Fast Loan to Manage ATO Debt
Scenario
The borrowers needed a solution to refinance an existing loan and release equity to pay out an outstanding ATO debt.
They offered a hotel as security, a double-storey property on 1,814 sqm. The ground floor featured a bar, a 50-seat restaurant, a commercial kitchen, laundry facilities, and an 80-seat undercover beer garden. A newly constructed covered area accommodated up to 40 guests, alongside a pool table. Upstairs, there were nine air-conditioned guest rooms and a manager’s suite with a foyer and large ensuite.
Why PMA?
Traditional banks were unable to provide finance due to the outstanding ATO debt.
PMA Solution
Refinance the current debt and release equity to pay out the ATO Debt.
Details
Loan Amount: $550,000 (First Mortgage)
Property Value: $800,000
LVR: 68.75%
Term: 12 months prepaid plus 3 monthly extensions
Exit
The borrowers’ exit strategy was to refinance the loan with a major bank.
Ready to discover how PMA can help provide finance solutions for your business (or your client's business)? Submit a scenario now and we'll get in touch (4-business hours response time guaranteed!)
