Real Estate Agent · Dallas, TX · Member since 2018 · 8 posts · 4 votes
I’m considering a commercial property that’s already used for RV campsites. I’d like to keep this as is. Are there any suggestions on standard and/or creative financing suggestions?
Developer · Member since 2020 · 4k+ posts · 4k+ votes
6y
These are more deal versus finance approaches. Buy the assets and peg a separate cost to the road, electric, plumbing, parking pads, security, etc. Talk with your cpa. Put as much value away from the land itself which can’t be depreciated. Check on a non compete agreement. Try to get as much early writeoff assets identified as possible.
Back on the financing. If there is some fix up costs needed. Do a construction loan with a commercial bank to only charge interest only while fixing up the property. Request xx months. Then role into an Sba loan with 20 year term to lock in interest rates. This should put you in a positive cash flow.