Recent Success Stories
Below are a few recent success stories to help provide more detail on the type of transactions we can get financing for at Commercial Lending X.
New Daycare Center Start-up – Client was looking to open their second daycare location. We were able to secure 90% financing for the start-up of their second location in the form of a $3.6 million construction loan, with a conversion to an SBA 504 loan when construction is complete, offering a 25-year fixed rate on 40% of the loan amount, and a ten year commitment from the originating Bank up front on their portion of the loan at an attractive fixed rate.
Hospital Refinance – Client was looking to refinance an existing hospital they operate and consolidate existing debt. We were able to secure an attractive $3.3 million mortgage at a very competitive long-term fixed rate with a local / regional bank on a non-recourse basis to complete the refinance and close quickly.
Single Family Investment Property Refinance – we have been able to secure the refinance of multiple 1-4 family investment properties for multiple borrowers at fixed rates with 30-year amortizations and cash-out up to 75% of a current “As-Is” appraised value of the property. Approvals were completed based primarily on credit score and property cash flow, with no personal tax returns or personal income qualifications required. Rates are fixed for at least 5 years with up to 30-year fixed rates available starting as low as 6.50%.
Loan Program Updates
Multi-family 6 to 12 Unit Special Pricing Program offering fixed rates starting in the mid 4% range fixed for 5 years with 7 and 10-year options available, 30-year amortizations, refinances up to 80% of value and cash-out up 70% of value. Looking for stabilized properties with historical cash flow to support proposed debt service.
The CMBS Market (Commercial Mortgage Backed Security) has continued to make a return. Non-recourse financing is available for acquisition and commercial property refinances of loan amounts $3 million and greater with long-term attractive fixed rates available starting as low as the mid 4% range for income producing properties (mixed-use, office, retail, industrial, and apartment). Loan to values usually need to be at or below 65%. Cash-out is also available in certain circumstances.
SBA 504 interest rates have come back down close to historic lows. If you are looking to refinance or acquire a commercial property to primarily owner-occupy with your business (51% or more occupied by your business), now is a great time to do so. Utilizing the SBA 504 program you can get a 10-year Bank commitment on 50% of the loan amount, finance as much as 40% of the loan amount via an SBA 504 loan, and allow you to get away with as little as 10% down on the purchase. In April interest rates were 4.36% on the 20 Year SBA debenture and 4.53% on the 25 Year SBA debenture.
1-4 Family Investment Property Financing continues to remain hot. With the ability to cash-out refinance up to 75% of a current ‘As-Is’ appraised value of a property or finance 80% of the acquisition cost of a new 1-4 family investment property, there is a lot of demand for this product. Underwriting is primarily based on credit and the subject property cash flow, with no personal tax returns or personal income verifications required. Pricing starting as low as 6.50% fixed for 5 years with up to 30-year fixed rate options available. For experienced portfolio owners who are willing to go through full bank underwriting, other programs are available as well.
As always, please find a link to our Loan Policy here where you can learn more details about all of the programs Commercial Lending X has to offer. Although not all inclusive, this policy provides some strong initial guidelines for a majority of the programs we have available to us.