Earlier in the year we had helped client purchase this property using a bridge loan. At the time it was the only way he could acquire the asset with the needed leverage. Less than 7 months later we now refinanced the property and as a result of the property being stabilized and improved it appraised for over $1.2 million higher in value, wow!
We had a lot of moving parts on this transaction. Property was being renovated, multiple tenants had been evicted, units then renovated and went under lease contract with new tenants. Loan program required borrower to be greater than 90% Occupied for the trailing 3 months. It was a nail biter of a deal!
We structured for the borrower a Freddie Mac SBL program 7 years fixed with 3 years of interest only. Everyone worked together and the task was completed and we would call it a success.