INDUSTRIAL PROPERTIES PURCHASE OR REFINANCE 

Description:

R&D/flex space; warehouse, distribution and light industrial properties; single and multi-tenant properties

Loan Type:

10-year fixed rate mortgage (other terms may be available upon request)  

Preferred Loan Size:

$1 million and larger 

Maximum Loan:

Amount equal to the lesser of:

1. 75-80%* of appraised value; or

2. 1.25-1.30* debt service coverage

*depending on age and condition of property 

Interest Rates:

Determined by market rates at the time of rate lock. Rates vary by loan-to-value ratio, debt service coverage and property quality 

Amortization:

Up to 30-year schedule 

Personal Recourse:

None, except for standard exceptions to non-recourse, which are the responsibility of the Key Principal(s) 

Assumability:

Assumable, subject to Lender ’s approval and a 1% transfer fee 

Underwriting Parameters:

Vacancy – greater of 5 or market.

Minimum reserves - $.20/sf 

Prepayment:

Standard defeasance (yield maintenance options may be available)

Subordinate Financing:

Generally not permitted 

Escrows:

125% of estimated cost of required repairs, if any, as determined by physical inspection

Monthly escrows for real estate taxes, property insurance, tenant improvements and leasing commissions and replacement reserves

Application Fee:

Based on estimated underwriting costs for appraisal, architectural/engineering report, environmental assessment and other loan processing costs.

Financing Fee:

Negotiable

Closing Expenses:

Standard transaction costs, including legal fees, title insurance and survey 

Preliminary Submission Package:

Include the following in your request for a loan quote:

1.        Property description and location map

2.        Representative color photographs

3.        Current rent roll and year-to-date operating statement

4.        Operating history - prior 3 years, if available

5.        Current year operating budget

6.        Existing debt and cost basis

7.        Sponsor resume