- First Trust Deed
- Rate: 8.90% Fixed
- Term: 12 months with One 6-month Extension Option
- LTV: 65%
- Amortization: Interest Only
- Origination Fee: 1.00%
- Exit Fee: None
- Prepayment: Open
- Guaranty: Non-Recourse
- Second Trust Deed
- Rate: 13.50% Fixed
- Term: 12 months with One 6-month Extension Option
- LTV: 65% - 85%
- Amortization: Interest Only
- Origination Fee: 3.00%
- Exit Fee: None
- Prepayment: 6 Months Minimum Interest
- Guaranty: Non-Recourse
- Blended Debt
- Rate: 9.98% Fixed
- Term: 12 Months with One 6-month Extension Option
- LTV: 85%
- Amortization: Interest Only
- Origination Fee: 1.47%
- Exit Fee: None
- Guaranty: Non-Recourse
Transaction Description:
George Smith Partners successfully closed a 1st and 2nd Trust Deed at 85% of the purchase price for unentitled land in the Koreatown neighborhood of Los Angeles, CA. The two loans have a blended rate of 9.98% for the twelve-month initial term. The Sponsor will have a six-month extension option available. GSP was able to identify two lending sources, to maximize leverage, who understood the market and the demand for multifamily development in this location.
- First Trust Deed
- Rate: 8.90% Fixed
- Term: 12 months with One 6-month Extension Option
- LTV: 65%
- Amortization: Interest Only
- Origination Fee: 1.00%
- Exit Fee: None
- Prepayment: Open
- Guaranty: Non-Recourse
- Second Trust Deed
- Rate: 13.50% Fixed
- Term: 12 months with One 6-month Extension Option
- LTV: 65% - 85%
- Amortization: Interest Only
- Origination Fee: 3.00%
- Exit Fee: None
- Prepayment: 6 Months Minimum Interest
- Guaranty: Non-Recourse
- Blended Debt
- Rate: 9.98% Fixed
- Term: 12 Months with One 6-month Extension Option
- LTV: 85%
- Amortization: Interest Only
- Origination Fee: 1.47%
- Exit Fee: None
- Guaranty: Non-Recourse