Private Bridge Debt Needed - $400K for Raw Land in Hawaii
My client needs $400,000 in bridge financing to refinance a piece of raw land on the Big Island. The property is worth approximately $2 million, and the loan will be used to pay off the existing 1st TD, attorneys fees, property taxes, and a few other ancillary costs. At the existing valuation the LTV is < 25%. The exit strategy is through the sale of an adjacent parcel of which the borrower is already negotiating an offer.
- Principal - $400,000
- Interest Only
- 15% i-rate
- No prepayment
- 12 month duration
-10 points on the deal upfront to you
-15% interest rate thereafter
-Borrower hopes to repay the loan in less than 6 months.
- 12 months of interest to be held-back and reserved from loan proceeds.
- <25% LTV
-Exit dependent on sale of adjacent property
-Borrower has low liquidity/cash flow
-Subject property is in the process of being up-zoned to multifamily. The new zoning should increase value to approximately $4 million.
Please contact me if you are interested in discussing the deal further. The transaction would be setup as a loan and you would be the mortgagee. You can reach me at (714) 655-2274. I look forward to speaking with you. Thank you.