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Direct Fund
Purpose: Fixed rate, non recourse acquisition or refinancing through our own Direct Fund program for the following property types:
- Multifamily
- Retail (anchored & unanchored)
- Office
- Light Industrial
- Self Storage
- Mobile Home Park
Program Advantages:
- Processing time frames are typically 30 days +/-
- Loans are non-recourse with typical carve-outs for environmental matters, fraud, misappropriation of funds and other standard exceptions.
- Amortization between 25 and 30 years with up to ten-year and self-liquidating call provisions. This flexibility in terms gives the borrower a choice to best fit his/her long-term financing goals.
- Mezzanine financing can be used in conjunction with program
| Geographic Preference: |
Nationwide |
| Term: |
10 year, fixed rate (other terms available subject to pricing adjustment) |
| Amortization: |
25-30 years (depending upon age / condition of property) |
| Minimum Loan Size: |
$2 million |
| Interest Rate: |
Fixed rate based on market at time of rate lock. |
| Loan to Value: |
up to 80% |
| Debt Service |
1.20x – 1.30x |
| Liability: |
Non-recourse, except for fraud and environmental carve-outs |
| Assumption: |
Unlimited times during loan term with 1% fee |
| Prepayment: |
Defeasance provision |
| Reserves: |
Based on engineering report; Tax and Insurance Escrows; Deferred maintenance 125%; Tenant improvement and/or leasing commission reserves may be required for commercial properties |
| Required Due Diligence: |
Phase I Environmental, Engineering, and MAI Appraisal Report. |
| Ownership Entity: |
Single Asset
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