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Deal Details
Private Loan Type
Commercial Property Value Add
Approx. Funding Date
10/15/2021
Property Type
Property City
Miami Beach
Property State
FL
Lien Type
1st Mortgage
Purchase Price
$3,000,000
Loan-to-Purchase Price
80%
Borrower's Contribution to Purchase
20%
Source of Borrower's Contribution
Cash
Renovation Budget
$600,000
Renovation Budget Funded
100%
After-Repair Value
$4,615,000
Loan-to-After-Repair Value
65%
Number of Units
18
Borrower's Plan
Build and Hold
Exit Strategy
Refinance
Borrower Credit Rating
Excellent
Deal Summary
Stormfield Capital, a direct CRE bridge lender, funded a $3M loan for the purchase and renovation of an 18-unit motel in North Miami Beach, FL. The Borrower/Sponsor is an active developer in Miami and New York City. They are converting the motel into an 18-unit multifamily property. The purchase price was $3,000,000 and the rehab budget was $600,000. The Sponsor contributed 20% cash toward the purchase. Stormfield funded the rest of the acquisition cost and the entire rehab budget on a rolling basis. We estimated the completed value to be around $4,615,000 which will make our financing 65% loan-to-completed value. We did our own in-house valuation and did not require a formal appraisal. Upon completion of the project, the Sponsor plans to refinance our loan with permanent financing and hold the property for a long-term investment. This commercial property value-add project was funded in October 2021.
Funded By
Stormfield Capital, LLC
Direct Balance-Sheet Lender for Investment Properties