Featured LoanStorage Facility - $1,750,000 Bridge Loan
Loan Amount: $1,750,000
Loan-To-Value: 55% LTV
Situation & Challenge
The owner of a storage facility in California wanted to use the considerable equity in the property as a source of down payment for the acquisition of another nearby storage facility.
Since the leverage was relatively low and the property had strong cash flow, the borrower wanted attractive private money, no appraisal (a bank had completed an appraisal a few months earlier), and be able to close within 10 days.
Solution & Result
First Capital Trust Deeds worked with a Los Angeles-based investment fund that did a quick site visit in lieu of an appraisal in order to close the loan in eight days.
Terms on the 12-month bridge loan were 8.50% with no prepayment penalty or guaranteed interest.