Equity Cash Out11/29/2019
Archway Fund, a direct private mortgage lender, provided a $3,645,000 non-recourse bridge loan secured by an industrial property in Hillburn, Rockland County, New York. The Sponsor needed to quickly cash out $2,000,000 in equity on this property to use for another investment property purchase. The subject property is ground leased to a waste management company. With 8 years remaining on the lease, Archway was comfortable with the unique nature of the property. And the loan-to-value was only 50%. We paid off the previous lender and provided the cash out funds in just 10 days. The interest rate was 6.99% Interest Only fixed. We charged an origination fee of 2 points. The loan term was set at 36 months. The Sponsor plans to pay down the loan in cash or refinance back into a bank loan. As with almost all of our deals, the Sponsor did not have to personally guarantee the loan. This bridge loan was funded in November 2019.