)
Deal Details
Private Loan Type
Purchase
Approx. Funding Date
03/01/2023
Property Type
Property City
Temple Hills
Property State
MD
Loan Term (months)
24
Lien Type
1st Mortgage
Payment Type
Interest Only
Purchase Price
$725,000
Loan-to-Purchase Price
64%
Borrower's Contribution to Purchase
36%
Source of Borrower's Contribution
Cash
Location Type
Suburban
Property Condition
Good
Occupancy at Closing
Vacant
Number of Units
2
Building Square Footage
5,360
Lot Square Footage
21,344
Lot Acreage
.49
Borrower's Plan
Lease Up Vacant Units
Exit Strategy
Refinance
Borrower Credit Rating
Good
Interest Rate
12.50%
Origination Points
3%
Deal Summary
Gelt Financial, a direct CRE lender, funded a $458,000 1st lien position purchase bridge loan for the acquisition of a multi-story daycare & residential home in Temple Hills, Maryland. We funded 64% of the $725,000 purchase price, while the Borrower contributed 36% cash at closing. The daycare was purchased as a turn-key business with equipment sold separately. There was an adjacent 3-bedroom brick home included in the purchase. The Borrower had good credit. Their extensive background in real estate gave them additional credibility. The property is approximately 5,360 square feet set in a 21,344-square-foot lot with lots of parking for the business. It was built in 1955 and was in good condition. The Borrower plans to lease up vacant units and eventually refinance as an exit strategy. The interest rate was 12.50% floating and we charged 3% origination points. The loan term was set at 24 months. This CRE purchase bridge loan was funded in March 2023.
Funded By
Gelt Financial, LLC
Creative Private Financing for Commercial Real Estate since 1989