Agricultural Land Financing: Recreational Ranch Owner Lowers Rate and Receives $400K Cash Out
AgAmerica helps borrower refinance multiple debt obligations and cash out on land equity with $1MM multi-loan package.
A partnership with AgAmerica means partnering with a lender who is singularly focused on agricultural land financing. This organizational discipline coupled with our institutional flexibility enables us to provide our clients with the best ag real estate products nationwide.
The Challenge
A Texas recreational ranch owner interested in investing in new property was feeling limited by debt obligations to another lender. In hopes of accessing more capital and boosting operational cash flow, the landowner turned to AgAmerica to see what options were available to them in terms of restructuring existing farm debt.
The Solution
Using the Texas ranch property as collateral, AgAmerica was able to create a multi-loan package just over $1MM that achieved two goals. The first product was used to refinance prior debt obligations and lowered the client’s rate by more than 200 basis points. The second product was an immediate cash out acquired at closing that provided them with instant capital for future expansion opportunities and operational expenses.