I have a client in need of a bridge loan in the range of $2M -$4.5M (depending on LTV) until their construction financing facilitate of $81.4M, which kicks in mid-April. We have prepared a Business case presentation and Financial Request Report of over 138 pages, so we do have all pertinent information at the ready. The development in short is 798 condo units in Sulphur, Louisiana. Is this something that your bank can help with? Please see below for a summation of our thought pattern of the required bridge. The following is a summary of Bridge Amount Sought, Intended Purpose, Terms Offered, Promoter/ Sponsor’s Skin-in-the-game (terms are negotiable): A. Bridge Amount Sought, Intended Purpose: 1. Parcel #1 (Beaver Creek): i. USD $1.5 MM secured by land @ 75% LTV on land valued @ $2 MM ii. To be used for Purchase ($1.1 MM), & Soft + Horizontal Costs ($400K) 2. Parcel #2 (The Residences at Parkway): i. USD $3.0 MM secured by land @ 75% LTV on land valued @ $4 MM; ii. To be used for Purchase ($2.2 MM), & Soft + Horizontal Costs ($800K) B. Terms offered: a. Disbursement date: December 1, 2015 b. Interest offered: 1.25% per month c. Paid on: 1st of the following month d. Security: 1st position on Land e. Repayment/ Discharge: April 1 2016, or earlier f. No bonus or penalty for pre-repayment g. At time of Discharge, Lender has opportunity to subordinate mortgage at mutually agreed-upon terms. C. Promoter/ Sponsor’s Contribution to-date (‘skin-in-the-game’) 1. $260K – Deposit of $130K each towards Parcel 1 & 2 2. $485K – Private Placement of $78.4 MM Constr. Financing starting Apr ’16. 3. $200K – Working Capital, Travel, Designs, Legal documents etc. 4. 2 man-years of full-time dedication by df993 from Sulphur, Louisiana. Nov 15th 2015
I would look in the Scotsman Guide
Obviously, the lender willing to entertain this project will need to review your complete presentation, but there are lenders who specialize in these types of loans.. the best source would be Scotsmanguide.com. There, you can type in your scenario and find a list of lenders matching your project. I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. William J. Acres, Lender411's number ONE lender in Arizona. 480-287-5714 WilliamAcres.com NMLS# 226347
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