Bridge Loan for Miami Beach Motel to Multifamily Conversion

Funded by Stormfield Capital, LLC

Miami Beach, FL

$3,000,000

Motel, Multifamily

Commercial Property Value Add

10/15/2021
Transaction by
Stormfield Capital, LLC
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 to an 18-unit multifamily property. The purchase price was $3,000,000 and the rehab budget is $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.