Transaction Overview
George Smith Partners successfully advised on $11,000,000 for cash-out financing for the completion of a high-end luxury home in Los Angeles, California. The loan retired a higher interest rate and was also closed before certificate of occupancy was issued. GSP was able to source a lender who understood the significant value of the home from day one, did not require an appraisal, was comfortable with the Sponsor’s ability to receive COO, did not require the Sponsor to holdback any interest in a reserve account and did not have a minimum interest due or require a prepayment penalty. The 12-month loan term was structured to provide the Sponsor with time and flexibility to obtain certificate of occupancy and sell the asset within the Sponsor’s timeline.
