Transaction Description:
George Smith Partners successfully placed an $8,000,000 bridge loan for the refinance of a 28-unit, newly constructed apartment building in La Mirada, California. The bridge loan refinanced the construction loan at building stabilization. The loan amount provided a return of equity to the Sponsor and allowed the Sponsor time to decide whether to sell the property in the future or put a permanent loan on the property if long-term rates start to come down. GSP sourced a lender that was able to provide maximum cash-out and fix the interest rate for the duration of the loan term. The financing is open for prepayment at any point throughout the loan term with a minimum of 12 months interest paid.
- Rate: 7.75% Fixed
- Term: 2 Years, Two 6-Month Extensions
- Amortization: Interest-Only
- Loan-to-Value: 70%
- Prepayment: 12 Months Minimum Interest Period
- Loan Fee: 1% Origination Fee, 0.50% Exit Fee
- Guaranty: Non-Recourse
