Hot Money

George Smith Partners is actively placing five- and seven-year perm-debt with a California based portfolio lender financing up to $18,000,000 for office, industrial, multifamily, and retail properties. A 5+5+5 term structure is also available for a 15-year term with rate resets. The zero-prepayment penalty allows for total flexibility to take advantage of future capital appreciation, sale or further rate reductions. Rates range from 3.75% to 4.25% to a 1.20 DCR.

George Smith Partners is working with a national balance sheet lender funding non-recourse bridge debt up to 85% of value. Rates start at 3.15% for multifamily, healthcare, student housing and manufactured housing projects for 3-year terms plus extensions. The lender has an appetite for transactions starting at $10,000,000. In-place cash flow at funding is required as low as a 4.5% debt yield (net cash flow divided by the loan amount) assuming an “as stabilized” 7.75% debt yield upon exit.

George Smith Partners is currently working with a nationwide balance sheet lender specializing in senior and mezzanine loans and preferred equity across all property types. Non-Recourse loans range from $5,000,000 to $25,000,000, with terms between 2-5 years, 75% LTV and 85% LTC. With rates starting at 7%, the lender targets opportunities for value-add acquisitions, refinancings/recapitalizations, conversions, and renovations and note purchases and participations.

George Smith Partners is working with a nationwide portfolio lender offering non-recourse, on-balance sheet, interest only bridge financing that focusses primarily on apartments, office, industrial, single tenant NNN, self-storage, manufactured housing communities and multiple property portfolios. Typical loan structures include two- or three-year initial terms with extensions up to 5 years, 60-70% as-is LTV (Higher Leverage available with Mezz), as-is debt yield of +-7%, flexible prepay structures and potentially property releases in year one with no spread maintenance penalty for up to 50% of loan. Lender will consider requests with future fundings/earnout or “good news” money and a minimum loan amount of $20,000,000. Pricing is LIBOR plus a credit spread in the L+200-250 range that depends on the asset and cash flow. The Lender holds and services the full commitment for the full term with no CLO or syndication risk.

George Smith Partners is working with a national investment bank utilizing their balance sheet for both transitional and stabilized properties. While traditionally used for much larger transactions, they will consider requests from $15,000,000 for non-recourse fixed or floating rates on all property types. Pricing from L + 150-350 for light bridge with flexible prepayment structures. Terms are up to 11-years for all stabilized loans.

George Smith Partners is working with a non-recourse capital provider that is funding fixed & floating bridge loans starting at $10,000,000. With a focus in the top 150 MSA’s, the lender will fund up to 70% of value at a fixed rate of 5.0%, or up to 80% with floating rates at 6%+. Terms are 1-3 years. Program highlights include flexible prepayment and a short minimum interest period. The lender can provide capital for newly constructed multifamily properties that are still vacant.

George Smith Partners identified a capital provider offering debt and equity from $3,000,000 to $30,000,000 for industrial, commercial, retail, self-storage, and special purpose properties. Rates start at 6% and terms are 1-3 years for bridge loans and 10+ years for longer-term facilities. The capital provider is focused in California and Hawaii and can close between 45-60 days.

George Smith Partners is working with a nationwide capital provider funding high leverage construction and bridge financing for pre-leased build-to-suit projects, medical properties, and self-storage properties up to 90%-100% LTC for $1-$25 million. In addition, they provide small balance JV equity for development and value-add properties for all asset classes. Rates are between 8% – 12% and terms vary by product type.

George Smith Partners is working with a capital provider funding bridge debt to 85% of value for interest only terms up to 10 years. Financing starts at $10,000,000 with rates starting in the low 3’s. The lender will finance all commercial property types across the United States with a national origination footprint and local presence in New York, Boca Raton, Charleston (SC) and San Francisco. They are also offering construction financing up to 80% of cost for multifamily properties. Debt Yield and DSCR restrictions are based on market location and analyzed on a deal by deal basis.

GSP is working with a national portfolio lender funding permanent financing for the multifamily and medical/Class A, Class B office. With loan sizes up to $50,000,000, pricing for multifamily properties start at 3.50% and all other property types start at 3.625%. They can offer 75% of value subject to actual current debt service requirements and with terms up to 10 years fixed, amortized over 30 years. There is never any prepayment penalty.

George Smith Partners is working with a national capital provider funding non-recourse bridge debt to 75% of total cost and 80% on apartments. The Lender has a strong appetite for multifamily, industrial, office, retail, self-storage and student housing. This capital provider offers floating rate pricing starting at L+325 with terms up to four years for transactions at $20,000,000 and up.

George Smith Partners identified a specialty lender offering bridge financing for a broad spectrum of commercial real estate special situations nationwide up to $45,000,000. Pricing is between 10% and 12% interest only for terms up to 36 months and 80% of cost and 65% of value. Special purpose properties include hospitality, gas stations, senior living, drug rehabilitation facilities, private schools, car dealerships and historic buildings. This lender is comfortable with bankruptcies, discounted payoffs, restructurings, pending foreclosures, environmental issues, and credit issues and can fund in four weeks.