Small Commercial Expert: December 2013

Multifamily Acquisition and Apartment Financing - Structured Finance

Mutlifamily acquisition and apartment financing in a structured financing vehicle is one of the few ways for sponsors and borrowers to get access to high leverage loans .. loans with LTV's above 90% and in some cases as high as 95% LTV.

In one recent example an investor provided the entire capital stack to make a multifamily acquisition financing possible.  The investor (commercial lender) provided the Senior Bridge debt, a Mezzanine Loan for interest reserves and repairs, as well as an equity investment into the LP (Limited Partnership) to complete the required equity investment for the loan portions of the multifamily acquisition financing.

The result of this structured financing achieved a high leverage debt package of 98% LTV.  Experienced sponsors (borrowers) can achieve high leverage loan success and approvals with the proper use of strucutred financing vehicles for multifamily development acquisitions.  

Whether purchasing one multifamily development or a portfolio of multifamily developments these types of structured financing arrangements can be used to achieve very high LTV loans.  This type of structure can be used for established, stabilized multifamily assets or to acquire distressed multifamily developments in need of repositioning and rehabilitation.

For more information on obtaining structured financing for multifaimly acquisition and apartment financing contact Michael Gross, President of Dividend America Commercial Lending directly at 404-819-4511 or email to mgross@dividendamerica.com.  Apply online at DividendAmerica.com

Loans available in all 50 states of the USA - Equity, Bridge Loans, Joint Ventures, JV with preferred markets in the Standard & Poor’s Case Shiller Index – Boston, Chicago, Denver, Las Vegas, Los Angeles, Miami, Fort Lauderdale, Orlando, San Diego, New York, San Francisco, Phoenix, Atlanta, Tampa Bay, Detroit, Minneapolis-Saint Paul, Charlotte, Dallas / Fort Worth, Portland, Seattle, Cleveland, Oklahoma City, Jacksonville, Indianapolis, Nashville, Kansas City, Louisville, Milwaukee, New Orleans, Philadelphia, Raleigh, Sacramento, Salt Lake City, San Antonio, San Jose, Saint Louis, Tucson, Austin, Baltimore.

Comment balloon 0 commentsMichael Gross • December 27 2013 11:44AM
Multifamily Acquisition and Apartment Financing - Structured Finance
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Mutlifamily acquisition and apartment financing in a structured financing vehicle is one of the few ways for sponsors and borrowers to get access to high leverage loans. loans with LTV's above 90% and in some cases as high as 95% LTV. In one… more