Sell for capital to scale or hold for bigger long term profits?

[Shawn Wilcox]

My business partner and I purchased a commercial office building a few years ago with creative financing. All of our leases are being renewed and renegotiated within the next 8 months. If the leases end up in the realm of where we believe they will the value of the building will go up a good amount and we will have close to 1 million in equity.  

Refinancing isn’t an option yet because of the way we purchased it (unless someone has a bank that will look at the deal differently) our original plan was to pay off our balloon in early 2027 when it is due which the bank will treat as a purchase and then we would wait until we are able to refinance so probably 2028 and then we could pull out a good chunk of equity at that time.

My main question is should we wait the extra time so we can hold the property longer or should we try and sell this year, take the profit and scale quicker. Another factor is we both work full time jobs so it’s difficult for us to scale as quickly as we would like to but if we can take these early profits that would change things.