At Rikvin Capital, we specialize in providing swift and effective financing solutions tailored to our clients’ unique needs. Today, we’re excited to share a recent success story that underscores the value of our bridge loan services.

Meeting Urgent Real Estate Financing Needs

In the dynamic world of real estate, opportunities and challenges can arise unexpectedly. Recently, a repeat client approached us with an urgent requirement for a bridge loan. The client needed temporary financing to secure a prime commercial property on Geylang Road in Singapore while they worked on securing long-term bank funding.

Prime Commercial Property on Geylang Road

The property in question is a strategically located commercial building on Geylang Road, approximately 4 km east of the city center. The property comprises three 2-storey intermediate conservation shophouses, which are fully tenanted and generating stable rental income.

Structuring the Ideal Bridge Loan

Understanding the client’s urgency, we structured a bridge loan designed to provide immediate liquidity. The loan was secured against the property with a first charge. The property’s valuation was $18.68 million SGD, and we provided a loan amounting to approximately 61.25% of the property’s value.

Key Highlights of the Transaction

• Speed and Efficiency: The bridge loan was approved and disbursed swiftly, allowing the client to capitalize on their opportunity without delay.
• Client Trust: As a repeat client, the borrower had confidence in our ability to deliver, based on previous successful transactions.
• Strong Security: By securing the loan with a first charge on a prime commercial property, we ensured that the transaction was underpinned by strong collateral.

Comprehensive Property Overview

The subject properties are located along Geylang Road, with excellent access to public transportation and major expressways like the Kallang-Paya Lebar Expressway (KPE), Pan-Island Expressway (PIE), and East Coast Parkway (ECP). The immediate vicinity is a mix of shophouses, commercial complexes, budget hotels, hostels, and residential developments.

Ensuring Loan Affordability and a Clear Exit Strategy

The properties are already producing rental income, adding another layer of financial security. The exit strategy involves refinancing with a major bank, for which the client has already received a term sheet and is awaiting a formal letter of offer.

The Outcome: A Win-Win Scenario

The successful execution of this bridge loan not only helped our client secure the property but also reinforced our commitment to providing flexible and timely financial solutions. This transaction exemplifies how bridge loans can serve as vital tools in the fast-paced real estate market, enabling investors to seize opportunities that might otherwise slip away.

At Rikvin Capital, we remain dedicated to supporting our clients with bespoke financing solutions tailored to their unique needs. Whether it’s through bridge loans or other financing options, our goal is to help our clients achieve their financial objectives with confidence and ease.

For personalized consultation, feel free to reach out to us at info@rikvincapital.com, or connect with us via Whatsapp at +65 8133 5757. We’re here to help you find the right financial solutions tailored to your unique situation.