Hot Money

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.

George Smith Partners is working with a capital provider funding brand new built apartments for Sponsors who are either buying at Certificate of Occupancy with some pre-leasing or taking out construction loans up to $25,000,000. With terms two years or less, this lender can offer fixed rate pricing at 5.25% for year one and 5.50% for year two and up to 75% LTC. A SOFR Cap is not needed.

George Smith Partners is working with a capital provider funding non-recourse permanent debt to 75% of value on stabilized assets. With a strong appetite for Multifamily, Industrial, Self-Storage and Mixed-Use properties the Lender offers fixed rates starting at 3.90% for 5 and 7-year loans in ten states including California, Arizona, Colorado, Idaho for loans to $25,000,000. Ten-year fixed rate funds are available at a slightly higher coupon. Interest-only options are available along with aggressive underwriting down to a 1.15x DSCR on actual mortgage constants.

George Smith Partners is working with a national lender offering non-recourse financing solutions for experienced developers building new rental properties. With transactions from $3,000,000 – $50,000,000+, this lender will offer floating rate pricing and up to 75% LTC for construction loans and fixed rate pricing and 75% LTV for term loans.

George Smith Partners is working with a balance sheet lender offering low-cost, flexible financing solutions for acquisition, refinance or construction take-out. This lender offers the ability to lock up to 12 months at the application and a refundable deposit (subject to hedge loss) due upon rate lock for stabilized assets. The small balance program ($2M – $10M) and large balance program ($10M-$50M+) offers 3-10 years with balloon note structure and fixed, rate reset, hybrid and variable rates with no origination fee.

George Smith Partners is placing high leverage non-recourse bridge debt up to 75% of value and 90% of cost. Funding transactions up to $30,000,000, the capital provider offers flexible loan structures with terms up to 5 years. Floating rate pricing starts at L+200+. The Lender has a particularly strong appetite for multifamily (75+ units), industrial (20’+ clear heights, office build out <=30%, concrete wall construct), suburban office (multi-story in an established office park), self-storage and anchored retail in the top 50 MSAs.

George Smith Partners identified an equity provider offering preferred equity for multifamily and commercial real estate investments in secondary and tertiary growth markets nationwide. This equity provider will provide $1,000,000 – $5,000,000 checks to established sponsors and up to 90% LTC. They can fund in two weeks or less.

George Smith Partners is working with a capital provider funding non-recourse permanent debt to 75% of value. With a strong appetite for Multifamily, Office, Industrial, Retail, Self-Storage and Mixed-Use properties the Lender offers fixed rates starting at 3.20% for 5-year loans in California, Arizona, Colorado, Idaho, Nevada, Oregon, Texas, Utah and Washington for transactions up to $25,000,000. The Lender has interest-only options available along with aggressive underwriting down to a 1.15x DSCR.

George Smith Partners is working with a balance sheet lender providing financing for heavy value-add and ground up construction financing. Check sizes are between $3,000,0000 and $10,000,000, rates start at 13% with a three-year minimum investment at 85% of cost without profit participation. Property types include land, multifamily, condos, manufactured housing, single family development programs, industrial and retail. Sponsors need a track record.

George Smith Partners is working with a capital provider offering $10,000,000 – $50,000,000 for both existing cash flowing and ground up construction properties nationwide. Rates are 4% and the lender offers a participation in net cash flow (if any) and profit at exit. Recourse is available through construction burning down to 50% at CofO, and then non-recourse when a 1.0x dscr is hit on an interest-only basis.