Hard Money Loan for Owner-User Office Building Purchase in Overland Park, Kansas

Deal Details

Private Loan Type

Purchase

Approx. Funding Date

03/03/2023

Property Type

Office

Property City

Overland Park

Property State

Loan Term (months)

Lien Type

1st Mortgage

Payment Type

Interest Only

Purchase Price

$375,000

Loan-to-Purchase Price

67%

Borrower's Contribution to Purchase

33%

Source of Borrower's Contribution

Cash

Location Type

Urban

Property Condition

Excellent

Building Square Footage

20,326

Borrower's Plan

Continue Occupancy

Exit Strategy

Refinance

Borrower Credit Rating

Average

Interest Rate

12%

Origination Points

Deal Highlights

67% LTV on owner-occupied office building in Overland Park, Kansas.

20,000+ SQFT building - previously occupied by a bank.

Borrower with multiple business and positive cash flow.

Experienced real estate investor in Kansas.

Deal Summary

Gelt Financial, a direct CRE lender, funded a $250,000 1st lien position hard money loan for the acquisition of a single-tenant owner-user office building in Overland Park, Kansas. We funded 67% of the $375,000 purchase price, while the Borrower contributed 33% cash at closing. The Borrower approached Gelt Financial because they needed to finance the purchase of their new office space. The Borrower had average credit and had experience in real estate investing. The subject property is approximately 20,326 square feet and includes on-site parking. It was built in 1968 and was in good condition. The Borrower plans to eventually refinance as an exit strategy. The interest rate was 12% floating and we charged 3% origination points. The loan term was set at 24 months. This CRE hard money loan was funded in March 2023.