Posts Tagged ‘project funding’

Raising cash creatively

April 29, 2012



80/20 Project funding program

September 20, 2009



March 21, 2009



What is an investment Bank?

January 9, 2009
You may wish to better understand what is an “Investment Bank”.  Please find a good definition below:
“An Institution which acts as an underwriter or agent for corporations and municipalities issuing securities.
Most also maintain broker/dealer operations, maintain markets for previously issued securities, and offer
advisory services to investors. investment banks also have a large role in facilitating mergers and acquisitions
 private equity placements and corporate restructuring.”
Typically, Investment Banks are lead by a Principal(s) whom hold securities broker-dealer licensing, and such an institution has the capability,
and relationship wherewithal including associates in the securities industry, lending, legal, etc., to put together a solution in order to assist
clients to raise capital for quality projects.
We are particularly delighted with this new relationship, as this Institution is distinguished from other similar Investment Banks in the following ways:
1.     Creativity.
2.     Willingness to consider most any project, business model, etc.1
3.     Willingness to serve as a direct lender.
4.     Willingness to serve as a joint venture/venture capital partner.
5.     Access to other “niche” lenders and other providers.
1With the notable exceptions of the following project types:
1.         Raw Land
2.         Domestic Residential Homes
Specifically, this institution is interested in assisting with projects that are traditionally difficult to fund, as well as non-conforming, and even possibly
“distressed” situations.
Solutions are custom designed based upon the needs of the project, and the available resources given the situation, which may include:
1.     Debt
2.     Equity
3.     Debt/Equity
4.     Venture Capital
Even unusual collateral may be considered such as:
1.     Art
2.     Jewelry
3.     Other collectables
A number of different types of loans can be obtained such as, but no limited to:
1.   Equity Investments
2.   Business Loans
3.    Private Money
Private loans from $100K to $100 million
and up outside the US and Canada
4.    Conventional Mortgages
$100K and up available throughout the US and Canada
5.    Syndication & Securitization
6.    Major Metro Area ONLY Hard Money – Fast Close 
(1-3 yrs, Interest Only, no prepay) $100K and up,
Apartments, Mixed-use, Office, WH + construction / rehab funding N/A 
Up to 65% 11.9% and up 3 to 6 points
Big city metro areas ONLY ( NYC, Boston, Chicago, DC, Philly, Atlanta, Miami, LA, Seattle, etc..) 
Fast closings; property must have verifiable means to cover the mortgage payments and exit strategy.
2.    Owner Occ . Stated Income / Stated Asset
$150K to $5 million
Owner occ <= 5 units Office, WH, Retail, Medical, Auto Repair, Day Care. Etc..
FICO – 680+ Up to 80% on purchase Rate & Term refi; 75% cash out
Prime +  and up Min 25% owner occupancy;
Debt service coverage based on fair market rent of property; minimal paperwork & 30 to 45 day closing;
3.    Multifamily (2, 3, 5, 7, 10, 15 yr fixed term)
$250K + Apartments, Mixed Use (residential + other), MHP (better quality)
FICO 500 +
Up to 80% purchase / Rate &Term refinance UP TO 75% and cash-outs
3 – month LIBOR + 2.5% to Prime + 1 to 6 % depending on due diligence.
1.25 DSCR; 15/15, 20/20. 25/25 30/30 terms available
Full recourse;
CLTV to 90% on apartments + mixed use;
Market rent and interest-only options also available in certain markets
4.     General Commercial Loans
Office, Retail, Light Industrial, Ware Houses, Self Storage
(3, 5, 10, 15 yr fixed term)
$250K and up
FICO 500 +
3 – month LIBOR + 2.5% to Prime + 1 to 6 % depending on due diligence.
1.25 DSCR
3, 5, 10, 15 year fixed terms; with 5 or 30 yr amortization;
Full recourse; CLTV to 90%;
5.    SBA (full term fixed rates available)
$150K up to 5 million – Owner Occupied .
Most prop types include gas station, motel, daycare, assisted living, etc…
FICO – 680 + Up to 90% LTV
Purch or Refi and/or construction/ renov. funding ; Net worth >= 1X loan amt; 25%+ owner occ req.d; 1.25 DSCR; Full
recourse; >= 3 yrs exp in subject business; 3 yrs positive trend on tax returns OR high net worth + strong pro-forma
6.      SBA Look Alike,  (adj, 2, 5, 10, 25, 30 yr fixed terms) $200K to $6 million
Owner Occupied – Most prop types included, hotel/motel, daycare, assisted living, etc…
FICO – 680+ Up to 80%;
Lower LTV.s may apply to special use properties
Prime + .25% to Prime + 2.75%, Uses many SBA criteria but avoids full SBA underwriting process; Great for borrowers
who already have SBA; Best for props that have 3 yrs positive trend on tax returns + ability to pay w/ depr + int add-back to Fed net income; Borrower MUST have 3+ yrs exp in industry + own funds in property
7.     Bridge Loans – Nationwide Hard Money. Fast Close 
$500K + Any commercial property type
— interested in knowing the FICO, but typically not credit driven
Up to 65% LTV
9.99% and up depending on variables: location, type, credit history, circumstances,  exit strategy, etc
Full recourse to borrower; 6 months to 36 month terms,
Interest Only.
Interest and closing costs may be held in reserve escrow