Deal Details
Private Loan Type
Purchase
Approx. Funding Date
11/19/2021
Property Type
Property City
Santa Fe
Property State
NM
Loan Term (months)
48
Lien Type
1st Mortgage
Payment Type
Interest Only
Purchase Price
$1,510,000
Loan-to-Purchase Price
66%
Borrower's Contribution to Purchase
34%
Source of Borrower's Contribution
Cash
Building Square Footage
9,750
Deal Summary
Gelt Financial, a direct private commercial real estate lender, funded a $1,000,000 bridge loan for the acquisition of a 9,750-square-foot office condominium in Santa Fe, New Mexico. The Borrower is a public company that was renting the building and wanted to exercise a lease option to purchase the property for $1,510,000. The company is in the solar energy sector, and although it’s a public company, it doesn’t generate any revenue. Therefore, it was not possible for them to get a conventional loan. They got an appraisal on the building which came in at $1,800,000. Based on the appraised value, our loan was around 55% LTV, but on the purchase price, we are at around 66% LTV. We did not require any third-party reports and the loan is non-recourse (no personal guarantee). The loan term was set at 48 months, and we expect to be paid off when the company is profitable and able to qualify for convention financing. This bridge loan was funded in November 2021.