One of our valued commercial real estate brokers referred over their buyer to us. He was in a 1031 exchange selling a SFR and a small 6 unit building and rolling the funds into this 48 unit building.
The client was taking a big move up into a building in a non-core market. The subject property was a little weathered and needed some TLC, but was cash flowing well. Borrower required high leverage on this deal.
We were able to qualify the applicant under a Freddie Mac SBL program and almost at 80% LTV with a solid 5 year fixed with 1st year interest only. Because of the high leverage this left the client with some extra funds to apply to another transaction.