Featured LoanBridge Loan for Completed Development
Loan Amount: $13,000,000
Loan-To-Value: 50% LTV
Situation & Challenge
A developer needed to pay off the construction and mezzanine loans on the completed project by getting a new lower-cost private money bridge loan for 18-24 months.
The challenge was that the loan needed to have lower costs and interest rates, in order to meet the expected ROI on the townhouse project.
Solution & Result
First Capital Trust Deeds worked with a Los Angeles-based fund to provide a 24-month loan, setting aside 6-months of payments in an interest reserve account, and providing carveouts when units in the building sold.
The loan met the borrower’s criteria and closed in less than 21 days.