Alex85
2017-04-26 17:18:39
- #1
That's right. Ultimately, the additional costs of bridging finance and the risk that the new building will not be completed are passed on to someone else. However, that person wants to see cash in return, whether in the form of rent or a discount. The potential buyer will also have to pay commitment interest, which they will offset. Whether it is ultimately worthwhile or someone is foolish enough to do it? Maybe. But that gamble wouldn't be worth it to me and is significantly less nerve-saving than properly planning for the costs of bridging finance from the start (these are not huge amounts either).