Program: Private Money - Refinance & Construction
LTV (Loan to Value): 60% of the 'As Is' Value
Project: Construct Automotive Shop
Back Story: Client had originally purchased property and converted an existing house for commercial use. Currently she operates a small car lot at the location and an automotive repair shop at a separate location. The funds are for construction of a new automotive shop so she can consolidate all of her operations at one location. Funding is in two draws; the first draw is for the 'soft costs' associated (such as entitlements & engineering), once complete and has approvals from the city the remaining funds will be released to construct the building.
Loan Terms: 12% Rate, Interest Only, 60 Months & 24 Month Prepay of 2%.
Exit Strategy: FundingEdge will assist with a refinance into a competitive rate/term loan, once construction is complete & property stabilized.