Jason Gaffner successfully placed the refinance of a stabilized multifamily property with an active regional bank. There was a substantial return of equity to the Borrower. The new financing is fixed for 5 years at 3.20% before rolling to an adjustable rate for the remained of the 30 year term. There is no balloon risk. The loan was sized to a 1.20 DCR and 75% LTV, aggressive constraints given the sizable return of equity. The application was initially limited to 70% LTV although GSP was able to negotiate a 5 basis point increase when the appraisal came in lower than underwritten to prevent the erosion of proceeds. GSP further supported the higher LTV with additional sale comps to support the loan request.
