Hot Money

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    Mezzanine/Preferred Equity Capital for Land & Pre-Development From $3,000,000

    Hot Money

    February 21, 2018

    George Smith Partners identified a national capital provider offering 1st Trust Deed bridge, mezzanine and preferred equity programs starting at $3,000,000. Covered land and pre-development funds are made available for in-fill locations. In addition to core products, asset types include hospitality, student housing, self-storage and mobile home parks. Sub-debt for secondary and tertiary market developments will be considered once entitled.

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    National CMBS Originator

    Hot Money

    February 14, 2018

    GSP identified an institutional capital provider that is offering additional Borrower optionality on their Bridge and CMBS platforms. On the CMBS front the lender is providing an option to fix the rate at application. The 5, 7 and 10 year terms are priced between 3.75% and 5.00% depending on duration, as well as full term interest only for lower leverage deals. Amortization is either 25 or 30 based on product type and location. The rate lock at application is good for 60 days. On the Bridge platform the same lender is offering 1-2 year term loans priced at L + 250 -450 with open pre-pay on Day 1. The loans are Interest Only and up to 75% leverage. Both programs are focused on retail, office, hotel, multi-family and self-storage.

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    Middle-Market JV Equity Provider

    Hot Money

    February 7, 2018

    George Smith Partners identified a JV equity provider for middle-market multifamily, office, retail, industrial, and senior housing assets across the country. Looking for principal and JV value-add opportunities (mostly 90/10 or 95/5 deals) in major markets across the US and specifically in the southeast and southwest. Target equity investments between $5-30M per deal. Aiming for net 16% IRR across the Fund (17-18% IRR at the deal level). Transactions are risk-adjusted; office buildings underwrite to 20% IRRs and stable Class A multifamily in good locations with moderate leverage underwrite to 13% IRRs. On multifamily, the lender has been targeting stabilized return on cost at or above 7.5% in Year 5 in markets/locations with outsized population growth and job growth.

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    Fixed Rate Non-Recourse Loans Up to 85% LTV From $3,000,000

    Hot Money

    January 31, 2018

    George Smith Partners identified a national capital provider funding fixed or LIBOR-based floating rate loans from $3,000,000 to $75,000,000, starting at 4.5%. This lender will finance Multifamily, Retail, Office, Industrial, Self-Storage, Mobile Home Parks, and Hospitality properties located in primary and secondary markets nationwide. 30-year amortization and terms up to 10 years on a non-recourse basis up to 85% LTV.

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    National Non-Recourse Bridge Lender from $2,000,000 to $25,000,000

    Hot Money

    January 24, 2018

    George Smith Partners identified a national floating-rate balance sheet lender funding bridge transactions starting at $2,000,000 up to $25,000,000 on a non-recourse basis. With the ability to advance up to 80% of total capitalization, pricing starts at LIBOR + 400 for partial or non-cash flowing assets. All core asset classes in primary and secondary markets are underwritten with no minimum DCR or debt yield required at funding.

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    CMBS and B Piece Buyer in One

    Hot Money

    January 10, 2018

    To further reduce uncertainty of execution, an active CMBS lender is advancing up to 75% of value with plans to hold the B Piece on their balance sheet to maintain certainty of execution. Debt Yields as low as a 7.5% for non-recourse fixed rate requests will be underwritten. Transactions range from $5,000,000 to $100,000,000 and term can be up to 10 years.

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    Mezzanine/Preferred Equity behind existing CMBS/Bank Debt

    Hot Money

    January 3, 2018

    George Smith Partners identified an institutional capital provider funding subordinate debt behind existing CMBS debt for all property types nationwide. The sub-debt lender will fund fully stabilized assets up to 85% of cost/value with various pay structures. Terms are up to ten years and pricing starts at 8% for a current pay and requires accrual or equity participation. All structures are within full compliance of the existing senior debt.

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    National Direct Lender from $3,000,0000 to $25,000,0000

    Hot Money

    December 20, 2017

    George Smith Partners identified a national floating-rate balance sheet lender funding bridge transactions up to $25,000,000 on a non-recourse basis. With the ability to advance up to 80% of total capitalization, pricing starts at LIBOR + 400 for partial or non-cash flowing assets. All core asset classes in primary and secondary markets are underwritten with no minimum DCR or debt yield required at funding.

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    Life Company with Allocation for Construction, Bridge, and Permanent Loans for Unique Assets

    Hot Money

    December 6, 2017

     

    GSP is originating debt with a national life company for transactions from $5,000,000 to $125,000,000. Fixed or floating non-recourse bridge loans start at $5,000,000 and above with pricing starting at LIBOR plus 4.50% with leverage up to 80% LTV. Properties with below break-even debt coverage will be reviewed on a case by case basis. This balance sheet lender will finance non-recourse construction loans $50,000,000 and above to 65% LTC starting at LIBOR plus 4.50%. Typical terms for bridge and construction are interest only for 3 years fixed with leverage up to 70% LTV. Permanent loans are 5 to 20 years fixed. The capital provider will fund asset classes that other life companies typically shy away from.

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    Heavy Bridge Capital and Non-Recourse Ground-Up Construction Nationwide

    Hot Money

    November 29, 2017

    GSP is originating debt with a balance sheet lender specializing in heavy bridge loans from $20,000,000 to $100,000,0000 to 65% LTV. Recent tombstones include vacant buildings and a fractured condo. Ground-up construction financing is also available on a non-recourse basis to 60% of cost. Pref-equity may be layered on to 75% of total capitalization. All structures are priced from LIBOR + 425 and 1 point. There is no exit fee for the three-year term.

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    Regional Portfolio Lender with Step-Down for Commercial Assets

    Hot Money

    November 22, 2017

    With the majority of local and regional banks focused exclusively on multifamily products, GSP is originating commercial real estate loans with a regional portfolio lender offering five and seven year fixed terms mid-to-high 4% range. A personal repayment guarantee will net a 10 basis point reduction in rate. Ten year terms are structured as a 5+5 with a rate reset at the beginning of year 6. Prepayments step down from 3% and are open the final 12 months of the fixed term. Stabilized and light-bridge West Coast transactions from $3,000,000 to $10,000,000.

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    National Portfolio Funding with Step Down Prepayment Penalties

    Hot Money

    November 15, 2017

    George Smith Partners identified a national portfolio lender offering a permanent fixed rate structure with step down prepayment penalties. This capital provider offers 5, 7 and 10 (5+5 and 7+3 options) year fixed rate terms for multifamily, manufactured housing, office, industrial, retail, hospitality, and self-storage, up to 80% of cost/value for Multifamily and MHC and 75% of cost/value for the other property types with flexible levels of recourse depending on LTV and DSCR. Transactions range from $5,000,000 to $25,000,000+ for the program. Funding is underwritten using in place cash flow to a 1.25x DSCR.