Commercial property equity release loans, without the eight-week wait.
An equity release loan against commercial or investment property your client already owns, anywhere in Australia.
- Facility
- $100K - $10M
- Term
- 3 - 60 months
- Security
- 1st or 2nd, multiple OK
- Servicing
- Not assessed
The equity is already there.
The bank will get there in eight weeks. The opportunity will not wait eight weeks. A fast equity release from a private lender prices in an afternoon.
This is a business equity release, not a reverse mortgage. Company and trust borrowers, commercial or investment security, a fixed term and a defined exit - not interest rolling up against a home for life.
Cash-out has never been the problem here - unexplained cash-out is. Tell us what the money is for and show us it, and the file prices in an afternoon.
Send it like this
A few sentences gets you terms.
A light touch to submit, and no accreditation to clear first. Security, number, dates, exit - that is the whole submission. Below is one written for this scenario.
- To
- deals@alphaconcapital.com.au
- Subject
- Equity release - indicative terms?
Client needs $900K for a deposit on an adjoining site, settling in three weeks. Two securities, both unencumbered, around $2.4M combined. Exit is a refinance to their bank once the DA lands - broker for that is already engaged.
How credit structures it
How we price commercial property equity release loans.
Staged release where the need is staged
Drawn over months rather than at once? Alphacon Line prices better - interest on drawn funds, not the limit. Say so at submission.
Multiple securities, one facility
Release equity from investment property across a portfolio on one facility, with a discharge figure per title - so selling one asset doesn't collapse the loan.
Interest prepaid from the advance
Where equity allows, the full term's interest comes out of settlement. No monthly payment to miss.
Equity release loan parameters
- Facility
- $100K - $10M
- Term
- 3 - 60 months
- Security
- 1st or 2nd, multiple OK
- LVR
- Up to 75%, 70% on a second
- Use of funds
- Evidenced
- Borrower
- Company or trust
- Equity release rates
- Priced per deal
- Interest
- Prepaid or interest only
- Purpose
- Business or investment only
Rates follow the security, the LVR and the strength of the exit, so equity release loans in Australia are quoted per deal rather than off a board rate. Where equity allows, the whole term's interest is prepaid from settlement. The $10M ceiling is an Alphacon Line facility.
Indicative. Subject to credit assessment, a panel valuation and satisfactory security.
Send this
What kills it
- All securities offered, with mortgage positions and current balances
- What the released funds are for, in a sentence, with supporting documents
- The exit - refinance, sale, or the capital event that repays us
- Any adverse credit or ATO position, disclosed up front
Cash-out with no explanation
Credit will ask, so ask first. "Working capital" is not an answer - an invoice or a contract is.
Equity that is already spoken for
Caveats, unregistered seconds, family loans. A second mortgage to release equity has to be registered and disclosed - it is an undisclosed claim on the equity that kills the file. A title search at submission saves a fortnight.
A term that is shorter than the plan
If the refinance takes twelve months, don't ask for six. Extensions cost fees; the right term costs nothing.
That is the whole file. Send it and we will come back with a position.
Broker questions
Commercial property equity release, answered.
What is a commercial equity release loan?
A loan secured against commercial or investment property a company or trust already owns, drawing on the equity in it rather than on income. The security is business property, the term is fixed, and a repayment date is set at settlement. It is not the consumer product of the same name, which lets an individual draw against their own home.
Is there a limit on what the funds can be used for?
They must be for business or investment purposes other than investment in residential property, and we want the use evidenced. Beyond that we are not prescriptive - what matters is that the purpose is legitimate and the exit holds.
Can we release against more than one property?
Yes. We regularly take two or three securities against one facility and set a partial discharge figure per title, so an asset can be sold during the term.
Will an ATO debt stop the deal?
Not by itself, and clearing one is a common use of the funds. Disclose it at submission with a current portal statement - an undisclosed ATO position found at legals is what kills the file.
Does the equity have to be in the borrowing entity?
No. A related party can provide the security and guarantee, as long as the structure is disclosed and each guarantor takes independent legal advice.
Is this a reverse mortgage?
No, and it is not consumer lending. That product capitalises interest against an owner-occupied home for life, with no fixed repayment date. This is a business equity release loan: a company or trust borrower, commercial or investment security, a term between six and sixty months, and a repayment date fixed at settlement. Alphacon does not write consumer credit and does not hold an Australian Credit Licence.
Can my client use equity release to buy investment property?
Yes, where the incoming asset is commercial or investment property held for a business purpose. To release equity from investment property your client already owns is one of the commonest reasons we are called: the released funds become the deposit, and the exit is the refinance or the sale that follows. We cannot fund an investment in residential property.
Can you release equity behind an existing first mortgage?
Yes. A second mortgage to release equity is Alphacon Second: the incumbent facility stays where it is, so your client keeps a cheap rate and avoids the break costs. Combined LVR inside 70%, and the first mortgagee's consent is the long pole - name the incumbent at submission so it runs in parallel.
How fast is a short term equity release loan?
An indicative position the same business day on a complete submission. From acceptance, fast equity release is limited by the valuation and the legals rather than by us - days rather than weeks once documents are out.
Can we release equity before selling?
Yes. To release equity before selling, we lend against it now and take the sale proceeds as the exit - a bridge loan to release property equity. That works where a sale is contracted, or the asset is on market with a listing authority. An intention to sell is not an exit; a listing authority and a marketing schedule is.
How is a private lender different from a bank on equity release?
A bank wants two years of financials and a servicing calculation, and it takes as long as it takes. A private lender for equity release loans underwrites the security, the evidenced use of funds and the exit instead. That is why a file that stalls at a bank prices here in an afternoon, and why the rate is higher - your client is paying for the date. We write equity release loans across Australia, metro through to rural, on Alphacon Reach where the postcode is the problem.
Can a commercial equity release be combined with a refinance?
Yes, and it is the common shape. A refinance and equity release on one facility pays out the incumbent and releases the equity above it in a single settlement, which is cleaner than running two transactions. Send the incumbent's balance, rate and maturity with the file and we will tell you whether refinancing the lot beats sitting behind it.
Your deal deserves a decision-maker.
Security, the number, the dates and the exit - that is the whole submission. A light touch to send it, no call centres, a straight answer the same day.