Deal Details
Private Loan Type
Commercial Property Value Add
Approx. Funding Date
12/20/2021
Property Type
Property City
Lake Tahoe
Property State
CA
Loan Term (months)
18
Lien Type
1st Mortgage
Payment Type
Interest Reserve
Purchase Price
$6,000,000
Loan-to-Purchase Price
66%
Borrower's Contribution to Purchase
34%
Source of Borrower's Contribution
Cash
Renovation Budget
$500,000
Renovation Budget Funded
100%
After-Repair Value
$7,600,000
Loan-to-After-Repair Value
52%
Renovation Project Scope
Light Rehab
Property Neighborhood
South Lake Tahoe
Location Type
Rural
Property Condition
Fair
Occupancy at Closing
Tenant-Occupied
Number of Units
36
Borrower's Plan
Rehab and Rent
Exit Strategy
Refinance
Borrower Credit Rating
Excellent
Deal Summary
First Bridge Lending, a direct private mortgage lender, funded a $4,000,000 fix and flip loan for a 36-unit multifamily residence in rural South Lake Tahoe, CA. The purchase price was $6,000,000 and the renovation budget was $500,000. First Bridge Lending funded 66% of the purchase price and 100% of the renovation budget in 1st lien position. The Borrower contributed 34% to the purchase. We set up an interest reserve, so monthly payments were not required during the loan term. The estimated after-repair-value was $7,600,000 so the loan-to-ARV that we funded was 52%. The Borrower was acquiring property from a convoluted estate, and the property was mired in liens from the former ownership. They needed a lender that could work through the title defects and get to the finish line in time. The subject property was in fair condition and tenant-occupied at closing. The Borrower had excellent credit. They plan to lease the property upon completion of the light rehab and eventually refinance as an exit strategy. The loan term was set at 18 months. This CRE value-add bridge loan was funded in December 2021.
Funded By
First Bridge Lending CRE
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