Funding Purpose
Tauro Capital Advisors was engaged on an exclusive basis to place a perm loan for the acquisition of a 12-unit multifamily asset in Fresno, CA utilizing 1031-exchange proceeds.
Property Description
All 12 units are fully occupied with current rents slightly below comparable properties and market rent.
Sponsors
The sponsor is an experienced commercial real estate investor with a diverse portfolio of multifamily, office, industrial, and SFRs for rent all in Fresno, CA.
Challenges
- Borrower had filed taxes on extension and sought timely closing
- Current market conditions constrained LTV and increased pricing
- The borrower’s investment strategy was to pay off the loan ahead of maturity
Solutions
- Tauro sourced debt from a bank without prepayment penalties
- Funding approved within 30 days followed by rushed appraisal and closing
Funding
- Loan-to-Value: 80%
- Interest Rate: 6.00%
- Amortization: 25 Years
- Term: 10 Years
- Prepayment: No Penalty
