$4,000,000 15 Year Fixed Rate Loan for a 53-Unit San Francisco Single Room Occupancy Housing

George Smith Partners placed the $4,000,000 cash-out refinance of a 53-unit Single Room Occupancy affordable project in San Francisco. SROs are multifamily properties although units are designed more like dormitories with shared bathrooms and/or kitchens. The subject is master leased to a non-profit agency that provides low income housing. Our Sponsor requested a term in excess of 10 years to mitigate future financing exposure for a some-what special use asset. Although the in-place master leases were used in underwriting, George Smith Partners also conducted a market study to confirm cash flow should agency funding issues arise. A partial return of equity as well as the funding of a future capital reserve account was established through this financing. Fixed for 15 years at 5.5%%, this non-recourse loan amortizes over 30 years.