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Deal Details
Private Loan Type
Purchase
Approx. Funding Date
04/26/2021
Property Type
Property City
Chicago
Property State
IL
Lien Type
1st Mortgage
Payment Type
Interest Only
Renovation Budget
$100,000
Loan-to-After-Repair Value
65%
Occupancy at Closing
Vacant
Exit Strategy
Refinance
Deal Summary
Gelt Financial, a direct CRE private lender, funded a $472,550 bridge loan for the purchase of a vacant retail property in Chicago which used to be an Aldi Supermarket. The Borrower planned to acquire the property and convert it into a daycare center. They own two other daycares in the area, and this location is part of their expansion plan. The original financing plan was to get an SBA loan, but it was taking too long and there was a risk of losing the deal. We approved the loan within an hour and were ready to close right away. We did not require an appraisal. The Borrower had plans to spend $100,000 on the conversion, so there was some value-add. Our loan will be approximately 65% of the post-conversion value. The Borrower plans to refinance with an SBA loan after the renovation is complete and the property is stabilized. This CRE bridge loan was funded in April 2021.
Funded By
Gelt Financial, LLC
Creative Private Financing for Commercial Real Estate since 1989