Hot Money

George Smith Partners is currently working with a capital provider funding permanent multifamily debt up to 65% LTV, with rates starting at 4.15% on both 5-year and 7-year loans. Financing in the western US, this lender’s sweet spot is between $5,000,000 – $20,000,000 with the ability to go higher on select deals. This capital provider has non-recourse and interest-only options available along with stepdown prepayment structures.

George Smith Partners has identified a debt fund providing mezzanine financing for ground-up construction. The capital provider will lend in the top 20 MSA with rates starting at SOFR+10%. The minimum capital allocation per deal is $10,000,000, with the ability to go $20,000,000, and leverage up to 80% LTC. Property types include multifamily, student housing, and industrial. The capital source has a strong appetite for institutional level opportunities.

George Smith Partners has identified a capital provider funding bridge loans up to 85% LTV. The loans are non-recourse and do not require a DCR test on the stabilized cash flow; allowing the lender to provide higher proceeds despite the current interest rate environment. Fixed rates start at 5.50% and floating rates start at SOFR + 5.00%. This capital provider lends nationwide on all major asset types including RV parks, self-storage, and student housing.

George Smith Partners is currently placing high leverage, non-recourse bridge financing through a national portfolio lender. Funding value-add transactions from $2,000,000 to $30,000,000, the Capital Provider offers a specialized program through flexible loan structures with the ability to lower cap requirements to 2 years. Floating rate pricing is priced over 30-Day Average SOFR, starting at SOFR + 400. The Lender has a particularly strong appetite for multifamily in high-growth markets in Texas, Florida, Georgia, Ohio, and Kentucky.

GSP has identified a bridge lender providing financing up to 85% loan to cost. Light transitional bridge is priced with a spread of 300 to 400 basis points over SOFR, while heavy bridge is priced with a spread of 400 to 600 basis points over SOFR. The lender will underwrite to a 6.5% stabilized debt yield. Product types include multifamily, self-storage, industrial, hospitality, and student housing.

George Smith Partners is in application with a capital provider funding take-out loans for new multifamily buildings, in lease-up, and prior to stabilization. Transactions range from $5,000,000 – $40,000,000 and can be sized up to 65% of “as stabilized” value. The rate is locked at application and prices in the mid-4.00% range for a seven-year execution. This on-book portfolio lender will close on a pro-forma and C of O, with only a 25% occupancy threshold. Coupons are fixed without the use of SWAPs allowing for prepayments that do not include a loss of yield formula.

George Smith Partners has identified an equity provider seeking to deploy $600,000,000 in JV equity. They are pursuing multifamily, industrial, hospitality, for-sale residential and BTR strategies. With financing starting at $15,000,000, this equity provider is open to deals across the nation with an IRR of 15% or higher.

George Smith Partners has identified a specialty lender providing fixed-rate permanent and bridge financing for multifamily and mixed-use properties nationwide. Transactions range from $2,000,000 to $25,000,000 with leverage up to 75%. For permanent financing, the Lender has non-recourse and interest-only options available along with aggressive underwriting down to a 1.15x DSCR. For bridge financing, the Lender can go as low as 1.00x DSCR.

George Smith Partners has identified a capital provider funding up to 85% of cost on most asset types between $1,000,000 to $15,000,000. The Lender provides time-sensitive bridge financing and can close in as little as 7 days. With a strong appetite for self-storage, value-add, and distressed transactions, the Lender is funding floating-rate transactions in most states, nationwide. This capital provider is a balance sheet lender and has non-recourse options available.

George Smith Partners has identified a senior mortgage capital provider that is funding multifamily bridge loans for transactions ranging from $10,000,000 to $100,000,000 in all markets nationwide. The Lender underwrites to 65% of stabilized value and an exit debt yield of 7.0% or less. There is no DCR test on the stabilized cash flow, which allows the lender to provide higher proceeds despite the current interest rate environment. The bridge loans are non-recourse and have an initial 3-year term.

George Smith Partners identified a JV equity provider for existing income-producing assets and transitional institutional quality projects for industrial, multifamily, and specialty sectors such as data centers and cold storage. They will write equity checks starting at $25,000,000 per asset with 50% – 65% senior leverage for acquisitions, repositionings, workouts, recapitalizations, lease-ups, partnership by-outs and restructures. Investment terms are 3 to 5 years.

George Smith Partners is working with a capital provider funding non-recourse bridge multifamily projects with zero cash flow floating from 5% in all markets nationwide from $3,000,000 – $25,000,000. This program does not require interest rate caps for the 2-year term for high vacancy, heavy rehab story deals. Exit fees range from .25% – 1.0% depending on deal size and can be waived with property refinance.