For commercial loans, we lend in metropolitan statistical areas that have at least a population of 50,000.
We cannot lend against special purposes properties such as Gas Station, Convenience Store, Car Wash, Auto Dealership, Auto Repair, Self-Storage, Boat Storage, Restaurants, Hospital, Medical Facilities (Surgery, Nursing, Rehab), Assisted Living, Schools, College, University, Religious Facility, and Sports Facility.
Yes, we can structure a rehab holdback that is released through draws as work is completed.
We may require an interest reserve (pre-paid interest) at closing. It ranges from 3-12 months and depends on the borrower’s loan request and credentials.
Yes, but only if the property is purely commercial and not residential, like a MFR or mixed-use property.
In certain circumstances we may be able to consider lending against land. The land value would need to be $500k or more.
Yes – properties owned for less than 12 months will be evaluated against the purchase price and capital expenditures incurred since purchase.
Loans with a 12-month term will typically have a minimum interest requirement of 3-6 months. Loans with a term >12 months will have a minimum interest requirement of 6 months.
Yes, all loans require a personal guaranty from any member owning at least 25% of the borrowing entity, with a minimum of 51% of the owners providing a guaranty.