We invite you to read about the innovative loans we are able to create for borrowers seeking financing for the purchase of apartment and multifamily, mixed use, and commercial properties.
A guarantor came to us requesting a cash-out refinance loan for a 46-unit mixed use building on a small downtown street near a major university. The owner struggled to secure traditional financing mainly due to lease rollover risk, marginal overall annual income, and sub-optimum mix of residential units based on a high percentage of studios.
We were able to structure a loan for the guarantor that provided extensive liquid assets post-close which significantly improved cash reserves and allowed for subject property improvements while maintaining a strong equity position in the property. Because we understand this customer’s specific needs, we were able to approve the loan based on a strong debt-service coverage ratio, good property cash flow, and a relatively low LTV.
After 15 years of operating a multifamily property, a guarantor came to us inquiring about refinancing a hard-money loan. The subject property had favorable equity supported by good property cash flow and was located in a strong rental market. However, even with these positive factors, other traditional lenders declined this loan due to the borrower having recent personal financial difficulties and other credit issues.
Our personalized lending approach allowed us to look beyond the challenges of the guarantor and focus on the mitigating circumstances. With a desirable rental market, a strong DSCR and low LTV, we felt comfortable approving the refinance of this property, thus eliminating the high rate hard money loan. The guarantor was able to secure a loan that significantly lowered the monthly payments and improved the multifamily property’s overall net cash flow.
A guarantor came to us needing a cash-out refinance on an owner-occupied office building in order to fund the purchase of an additional owner-occupied commercial property. Due to the conventional risk of lending on owner-occupied properties and the past financial difficulties of the borrower’s businesses, traditional lenders disqualified him from obtaining financing.
We took a common-sense underwriting approach to the loan analysis for this application. The property in question is located in one of the strongest retail and office markets in the country. The strength of the market and financial stability of the building far outweighed the borrower’s previous financial issues. With a strong global cash flow from outside real estate investments, we were able to approve the refinance loan for this property.