$4,100,000 Recapitalization of Los Angeles Multi Family Units

Transaction Description: George Smith Partners successfully placed the cash-out refinance a 43 unit and 8 unit multifamily Los Angeles portfolio. These two loans replaced a bridge facility placed by GSP last year. Our Sponsor was reimbursed for funds invested in this project repositioning and replaced a 5.0% bridge loan. By doing this 2-step process to bring the assets to stabilization, it allowed the Sponsor to obtain much higher leverage than placing permanent debt on the project day one. Fixed at 3.75% for five years, the loan was sized to 75% of current value and sized to a 1.15% debt coverage ratio.