Purchase Bridge Loan for Short-Term Rental in Hollywood, South Florida

Center Street Lending, a direct private lending firm, funded an $825,000 bridge loan for the purchase of a single-family residence in Hollywood, Broward County, Florida The purchase price was $1,100,000 so our 1st mortgage was a 75% loan-to-value, and the Borrower put down 25% cash. They plan to operate a short-term rental (STR) with nightly or weekly guests using the Airbnb platform. With the help of a broker, the investor was working with another lender that didn’t perform, and they were one week away from the closing deadline. The broker reached out to Center Street Lending on a Friday, provided all the documents the following Monday, and we closed that Friday. The Borrower is very solid financially with a high credit score, liquid cash, and owns other rental properties – one in the Miami area and several in New York City. The loan term was set at 24 months. The Borrower plans to eventually refinance into a permanent loan once a rental track record has been established. The property was vacant and in turn-key rental condition. It consists of 1,800 square feet, 3 bedrooms, 3 baths, a 1-car garage, and a swimming pool. It’s located in the Hollywood Lakes neighborhood, very close to the beach. This STR rental property bridge loan was funded in April 2022.