Apartment Bridge loan 100% of renovation costs and 80% of the purchase price.
Apartment Bridge Loan 80% of purchase plus 100% of renovations:
Asset Class: Multifamily, Apartment Buildings, Student Housing, Senior Living and Independent Living Facilities
Loan Amounts: $4,000,000 to $50,000,000
Nationwide: Limited to major and secondary metropolitian areas.
Loan to Costs: 80% of purchase/value plus 100% of the renovation
Loan Term: 3-years with extension options for years 4 and 5
Interest Rate: 30-day BLIBOR plus the Spread range 265 – 395 basis points
Fees: Lender Fee 1.0% Exit Fee: 0.50% with possible waiver case by case.
Amortization: Interest only payments
Prepayment: Open to prepayment with 18-24 month spread maintenance.
Recourse: Non-recourse, subject to standard lender carveouts
Debt Yield: Minimum going in 5.0%
Debt Yield Ratio Calculation The debt yield can be calculated by hand by dividing the subject property’s NOI by the loan amount: Debt Yield = Net Operating Income / Loan Amount For example, let’s say that a property’s NOI is $100,000, and the total loan is for $1,000,000. Equals a Debt yield in this example of 10%.
For more details regarding this nationwide loan product contact: Mike Caffrey phone: 913.402.7077 or email: Mike@CaffreyLoans.com