Huntington Park, CA
SDC Capital provided 1st trust deed financing of $806,250 (75% LTV) for the purchase of a 7-unit apartment building in Huntington Park, a city just five miles south of Downtown Los Angeles. This was a deal where the borrower had intimate knowledge of the submarket and was already invested heavily in the area. The plan was to renovate the units and hold the property indefinitely for cash flow. The borrower’s experience and extensive knowledge of the submarket gave us added confidence in our ability to close the deal quickly with no appraisal required. As a result, he closed two weeks early and received a $25,000 price reduction from the seller. The exit plan is to refinance with conventional financing during the 12-month term once rents are stabilized and renovations are complete. This deal was funded in January 2019.