Finance For Fitout
New Accounting Standards for Leasing
With commercial vacancy rates at multi-year lows in Sydney and Melbourne, Landlord contributions have shrunk significantly, making the net cost of Fitouts more expensive for tenants. In addition, 2019 sees the new global accounting standard for leases (IFRS16) come into effect, which means CFOs are having to capitalise rents and other costs previously treated as Opex. So there’s a lot of pressure on capital budgets, and getting funding approved for Fitouts can be tough.
To help solve these issues for our clients, CR Commercial Property Group (CRCPG) is delighted to announce that we have recently partnered with Northquest to offer our clients Fitout funding solutions. Northquest has previously financed Fitouts for CRCPG clients, and we decided the time was right to offer this service proactively to our customers.
Northquest was founded in 2007, and since that time has financed over $1bn of assets including several $100m of Fitouts. That experience means they have deep expertise to tailor a finance option that works for you, whether that be a Rental, Lease or Managed Service, and the implications for your cash, balance sheet and tax outcomes. Northquest offers finance up to 10 years, and can accommodate all Fitout costs including tangible and intangible assets and services.
If you would like to consider a finance option for your Fitout please get in touch with CRCPG and we will facilitate an introduction.