Deal Details
Private Loan Type
Purchase
Approx. Funding Date
07/01/2014
Property Type
Office
Property City
Chicago
Property State
IL
Interest Rate
%
Origination Points
%
Deal Summary
$1.8MM bridge loan for the purchase of a 40,000 square foot bank-owned office building in suburban Chicago. This transaction, completed in July 2014, is a great example of an undervalued REO asset with significant potential that was being mismanaged due to bank ownership. This bridge loan allowed the Borrower to quickly close the transaction and preserve $100,000 in equity that would have otherwise been at risk. The loan also provides for a capital improvement reserve to allow for renovations on vacant space as new leases are signed. The Borrower put down 20% cash, and the LTC (loan-to-cost) for this senior bridge loan is 80%.