Multiple Apartment properties on one loan:
One of our best lenders just released a new loan product aimed at loans with multiple Apartment properties on one loan. Below are the highlights of this loan program:
Non-Recourse – subject to typical bad boy carve-outs
Minimum loan amount: $2,000,000
Maximum Loan to Value: 75%
Interest rates see current rates at: https://www.caffreyloans.com/current-loan-rates/
Debt Service Coverage Ratio: 1.30x
Limitation on location: 3-mile radius. Lender will consider on an exception basis properties that are within a 5-mile radius.
Pricing same as normal program:
- for example as of August 13, 2108 a 10-year loan with a 30-year amortization the rates today would range from 5.0% to 5.16% in Standard Markets such as Kansas City or St. Louis. Rates would decrease about 10 basis points for Top Markets such as San Francisco or Washington DC.
- Minimum number of units in a building must be 5 or more.
- Lender will underwrite to replacement reserves but not collect reserves.
Minimum occupancy: 90%
What type of properties can be included? Duplexes and Four-Plexes (must have at least five units contiguous:
For Duplexes and Four-plexes lender will consider under the same terms above, expect the properties all must be adjacent, across the street, contagious.
Need additional information on these and other loan products contact Mike Caffrey (913) 406-7077 or email at: Mike@CaffreyLoans.com