North Hollywood, CA
Archway Fund, a direct private mortgage lender based in LA, provided a $2,626,000 non-recourse bridge loan for the purchase of a 20,165 square foot industrial property in North Hollywood, California. The Sponsor was a repeat client needing private financing in order to meet a purchase deadline and secure the property for lower than the listing price. Archway was able to meet their deadline which allowed the Sponsor to close quickly. The property was 90% leased, with multiple tenants. They plan to do some light value-add work and get the property up to 100% occupancy. Their exit strategy is to refinance with permanent debt within the 6-month loan term. The interest rate was 7.75% Interest Only fixed. We charged an origination fee of 1 point. The LTV was 60%. As with almost all of our deals, the Sponsor did not have to personally guarantee the loan. This bridge loan was funded in September 2019.