$22,000,000 Cash-Out Market Rate & Corporate Multifamily Refinance

Transaction Description: George Smith Partners successfully placed the cash out refinance of a Southern California multifamily rental property with a national on-book capital provider. Over half the units are fully furnished inclusive of linens, bedding and flatware for extended stay corporate users. Residents can move in with just a toothbrush. Located near a hospital and adjacent to a white-collar employment center, the subject will appeal to residents who require a stay over 30 days but unable to sign a six or 12 month lease. Although stabilized for three months, having just completed a renovation, our Sponsor lacked trailing cash flow on the short term rentals. A tiered future funding schedule was negotiated to allow for future earn-outs consistency in recurring cash flow is proven. Priced at 325 basis points over 30 day LIBOR, the non-recourse loan is interest only for three years. There is no LIBOR or interest rate floor allowing for an all-in coupon under 4% today.