Deal Details
Private Loan Type
Refinance
Approx. Funding Date
08/16/2018
Property Type
Property City
Warr Acres
Property State
OK
Loan Term (months)
12
Lien Type
1st Mortgage
Payment Type
Interest Only
Loan-to-Value
68%
Occupancy at Closing
Partially Occupied
Number of Units
138
Interest Rate
9.0%
Deal Summary
Archway Fund, a direct private lender based in LA, provided a $2.2MM refinance loan secured by a 138-unit, tax-credit, 90% occupied, apartment complex located in Warr Acres, Oklahoma. The loan-to-value was 68%. Cash flows break even due to the fact that the subject property is a Section 8 property and is 55% subsidized by OHFA. Archway was able to get comfortable with the tax-credit restrictions, build in an interest deficit reserve to cover the shortfall and close the gap until the property sells. The Borrower’s note was coming due and needed an expedited close. The interest rate was 9.0% with a 12-month term. No appraisal was required, and the Borrower did not have to personally guaranty the loan. This non-recourse refinance bridge loan was funded in August 2018.