{"id":578,"date":"2021-08-29T13:03:58","date_gmt":"2021-08-29T18:03:58","guid":{"rendered":"http:\/\/agcus.net\/?p=578"},"modified":"2026-02-04T19:14:15","modified_gmt":"2026-02-05T01:14:15","slug":"less-than-interest-only-payments-big-and-commercial-bridge-loans","status":"publish","type":"post","link":"http:\/\/streamapse.com\/TAR\/?p=578","title":{"rendered":"Less Than Interest-Only Payments Big And Commercial Bridge Loans"},"content":{"rendered":"

Last week I wrote a blog about how historically aggressive private money commercial bridge lenders are getting. \u00a0This month George Smith Partners, the big commercial mortgage banking company (the original founder started George Smith & Company decades before I founded Blackburne & Sons forty years ago) released a newsletter, FinFacts<\/a>, containing the following tombstone:<\/p>\n

“George Smith Partners (“GS P”) placed a $10,900,000 non-recourse loan for the refinance of an underperforming stabilized 50-unit multifamily community in Los Angeles. \u00a0The Sponsor recently acquired the asset at approximately 50% below market from an affiliate party, and GSP was able to facilitate approximately $3,000,000in cash out proceeds at closing.”<\/p>\n

“A portion of the loan proceeds will be used to renovate units as they become vacant in order to achieve current market rents. \u00a0GSP identified a non-institutional lender (private money lender) who was comfortable with the cash out proceeds and who understood the history and dynamics of this non-arms-length acquisition. \u00a0The non-recourse loan is fixed for 1.5 years with a 7.99% interest rate and 4.99% pay rate.”<\/strong><\/p>\n

Terms:<\/strong><\/p>\n

Interest Rate: \u00a07.99% with 4.99% pay rate
\nTerm: \u00a018 months
\nLTV: \u00a070%
\nRecourse: \u00a0Carve-Outs Only
\nFees: \u00a01.0%
\nPrepayment: \u00a0None; no exit fee<\/p>\n

The reason I brought this closing to your attention is because the Big Girls (the originator of this commercial loan at GSP was a lady) are arranging large commercial bridge loans with less than interest-only payments.<\/strong><\/em><\/p>\n

Article Provided By By George Blackburne<\/p>\n","protected":false},"excerpt":{"rendered":"

Last week I wrote a blog about how historically aggressive private money commercial bridge lenders are getting. \u00a0This month George…<\/p>\n","protected":false},"author":1,"featured_media":579,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[15,1],"tags":[55,5,89,16,156],"class_list":["post-578","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-financial-insights","category-latest-news","tag-bridge","tag-commercial","tag-interest","tag-loans","tag-payments","entry","double"],"_links":{"self":[{"href":"http:\/\/streamapse.com\/TAR\/index.php?rest_route=\/wp\/v2\/posts\/578","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/streamapse.com\/TAR\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/streamapse.com\/TAR\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/streamapse.com\/TAR\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/streamapse.com\/TAR\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=578"}],"version-history":[{"count":1,"href":"http:\/\/streamapse.com\/TAR\/index.php?rest_route=\/wp\/v2\/posts\/578\/revisions"}],"predecessor-version":[{"id":17662,"href":"http:\/\/streamapse.com\/TAR\/index.php?rest_route=\/wp\/v2\/posts\/578\/revisions\/17662"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/streamapse.com\/TAR\/index.php?rest_route=\/wp\/v2\/media\/579"}],"wp:attachment":[{"href":"http:\/\/streamapse.com\/TAR\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=578"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/streamapse.com\/TAR\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=578"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/streamapse.com\/TAR\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=578"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}