Hot Money

George Smith Partners is working with a capital provider that will provide non-recourse floating rate financing to 75% of cost including small lot subdivision and predevelopment for multifamily use. Pricing starts at 7.5% for terms up to two years for Multifamily, Office, Industrial, Retail, Urban Infill Land and Mixed-Use projects. Loan sizes range from $1,000,000 to $15,000,000 for transactions located in California, Arizona, Texas, Oregon, Colorado, Idaho, Utah, Washington, Tennessee, North Carolina, Georgia, Pennsylvania, Massachusetts, Maryland, Virginia, Washington DC and Illinois. Origination fees are 2-3 points and there are no exit fees.

George Smith Partners is currently placing non-recourse permanent financing from $1,000,000 to $25,000,000 for industrial, office, retail or mixed-use stabilized properties located in top MSA’s. With the ability to advance up to 75% of purchase price, pricing is based on Treasury rates + 200 points and terms are 3, 5, 7 and 10 years. There is no cost to the borrower for appraisal, legal, title, escrow and recording.

George Smith Partners is working with a national capital provider that will provide non-recourse fixed rate financing with an earnout up to 80% of cost. With terms up to 5 years, loan sizes range from $3,500,000 to $40,000,000 (larger in certain circumstances) and pricing starting in the high 200 bps over LIBOR for core asset types as well as self-storage, student housing, hospitality, commercial condo and specialty use. Program highlights include no negative arb, flexible prepayment and non-cash flowing assets.

George Smith Partners is working with a national portfolio lender providing construction loan take-out permanent programs for all product types ranging from $10,000,000 to $65,000,000 in primary and secondary markets prior to stabilization. With the ability to advance 75% of development cost, pricing starts at 3.50% for terms from five to ten years and the program offers a flexible stepdown prepayment. This lender offers true non-recourse and carve outs to an entity and not a warm body.

George Smith Partners is working with an equity investor funding transactions from $4,000,000 – $20,000,000 for Multifamily, Hospitality, Office, Retail, Mixed-Use and Specialty Properties. Non-Recourse pricing starts at LIBOR+ 8% with terms up to five years and 85% of cost for developments and transitional properties in primary and secondary markets. The Lender offers interest only amortization and future advances for lease-up costs and capital expenditures.

George Smith Partners is working with a capital provider funding permanent debt to 75% LTV. With a strong appetite for Multifamily, Office, Industrial, Retail, Self-Storage and Mixed-Use properties the Lender offers rates starting at 3.60% for loans in 10 Western U.S. states for transactions up to $30,000,000. The Lender has non-recourse and interest-only options available along with aggressive underwriting down to a 1.15x DSCR.

George Smith Partners is working with a nationwide, non-recourse capital provider financing single tenant investment grade deals up to $300,000,000. With the ability to fund up to 100% of value, the lender offers fixed rates between 3.25% – 3.45% based on the credit quality behind the lease, and terms up to 30 years for Federal, Municipal, Office, Distribution and Industrial properties. For a NNN lease the lender will advance down to a 1.0 debt service. Structures can include ground leases, construction to permanent and forward fundings

George Smith Partners is working with a national capital provider funding non-recourse bridge debt to 80% of total cost. True proforma based underwriting with a strong appetite for Multifamily and Mixed- Use properties (up to 100+units) with no in-place cash flow requirements. The Lender offers flexible loan structures with interest only terms up to 3 years for transactions up to $15,000,000. Risk adjusted, fixed rate pricing starts at 6.75%, fixed for the life of the loan with no extension fees. Closing costs including lender legal are less than $2000.

George Smith Partners is working with a capital provider for owners of all types of income producing, value add commercial real estate. Funding transactions from $2,000,000 to $20,000,000 the equity provider offers a 9% preferred return, plus profit participation of approximately 35%. With the ability to go up to 90% of the total capital stack and assuming 70% senior debt leverage, they can provide approximately 2/3rd of the equity on a senior basis, while the operating partner invests approximately 1/3rd of the equity on a fully subordinate basis.

George Smith Partners is placing non-recourse bridge debt through a national portfolio lender funding transactions from $5,000,000 to $75,000,000. The Capital Provider offers flexible loan structures with interest only terms between 1 to 5 years and extension options. Floating rate pricing starts from LIBOR + 300. Lender has a strong appetite for manufactured housing, self-storage and hospitality along with four main asset types located in secondary and tertiary markets in addition to primary markets. Opportunities should be cash flowing day one (above 1.0x DSCR) and value-add in nature. Loans can be structured with no lockout and minimum interest of +18 months. Initial loan to cost can go up to 85%, as long as stabilized value and cash flow support 70% takeout level. Future fundings can be structured for capex and TILC costs.
Lender also offers CMBS style loans on all asset types, primarily focused on Manufactured Housing, Self-Storage and Hospitality, loan sizes ranging from $2,000,000 to $25,000,000 with 5-10 year terms and 25-30 year amortization schedules. Typically capping max LTV at 70% for refinances, Lender has ability to structure mezzanine components (as small as $1,000,000) to get up to 80%-85% LTV. Senior Loans currently price in the 4.75% (10-yr loan) area with the Mezzanine components pricing in the 10% – 12% range depending on asset type and LTV of last dollar.

George Smith Partners is working with a national capital provider funding ground-up construction and Multifamily renovation debt to 85% of cost. They offer flexible loan structures and terms up to 24 months for transactions from $500,000 to $10,000,000. The Lender has a strong appetite for Multifamily, Mixed-Use, Condos and Infill Subdivisions located in primary and secondary markets and they will fund foreign nationals. Pricing starts at 7.99% for Multifamily renovation loans and 8.49% for Ground-up construction loans.

George Smith Partners has placed several heavy bridge/reposition transactions to 83% of total capitalization with sub-5% coupons. With the ability to extend the loan term up to ten years upon stabilization, debt service will be interest-only throughout the entire term. This national capital provider will fund all commercial property types across the United States. Debt Yield and DSCR restrictions are based on market location and analyzed on a deal by deal basis.