Financing a pub, club, hotel or motel

Commercial property finance: Pubs Hotels and motels

Buying a pub, club, hotel or motel can often be a challenge.

It is critically important that you get the right finance structure for your pub, club, hotel or motel. Getting the right finance will help you minimise costs and maximise your profits.

Some key points to consider are your cashflow and flexibility. Oak Laurel are specialist in finance for pubs, clubs, hotels and motels.

Oak Laurel finance brokers are a great option for those who want to:

  • Free up your cash flow
  • Refinance to get a cheaper loan and/or better conditions than your existin loan
  • Refurbish or renovate your premisis
  • Finance new furniture, signage, catering equipment, sound & lighting, IT equipment
  • Finance pokie machines
  • Fund a new venture
  • Finance development opportunities

Hotel/motel finance is available for the following purchasing options:

Freehold Going Concern – This is where you own both the physical property (Freehold) and the business (Going Concern) component. Typically, you are the operator and will manage and live at the hotel / motel. Cashflow comes from the operation of the hotel or motel.

Freehold Investment – This is where you own the physical property that the hotel or motel is built on but the business is owned by another entity (Leasehold). A lease agreement needs to be in place outlining the rental amount, lease terms and other conditions. Cash flow comes from the rent.

Generally, you can borrow up to 65% (Freehold Going Concern).

Leasehold – In this case you only own the business component and have a lease agreement with the Freehold owner (Landlord). Cash flow comes from the operation of the hotel or motel.

Get a better deal for your pub, club, hotel or motel! Speak to an Oak Laurel mortgage broker!