Refinance Bridge Loan for Golf Course and Country Club in Gautier, Mississippi

Commercial Capital BIDCO, a direct lender, funded a $1,485,000 1st lien position bridge loan secured by a golf course and country club in Gautier, Mississippi. The property value was estimated at $5,950,000 so our loan-to-value was 28%. Our LTV max is 65% so this deal fell well below that maximum for our requirements. We paid off a previous loan balance of $690,000. We love assisting our Clients with a wide variety of commercial investment loans and this deal was no exception! The proceeds for this particular loan product will be used to pay off the current debt on the property. The loan will also provide working capital for our Client – allowing them to renovate existing amenities to the course and club as well as add new amenities that their recreation patrons can enjoy while on and off the greens. We funded 100% of their $470,775 renovation budget. The subject property was in excellent condition and owner-occupied at closing. The country club building is approximately 2,400 square feet, and the entire golf course property consists of approximately 194.2 acres. The Borrower had good credit. They plan to continue operating the golf course upon completion of the light rehab and will eventually refinance as an exit strategy. The interest rate was 14%. We charged 6% origination points, and the broker earned a $37,125 commission. The loan term was set at 14 months. This cash-out refinance bridge loan was funded in March 2023.