Funding Purpose
Tauro was exclusively engaged to source the bridge loan on this single tenant restaurant to help bridge the gap to clean up buyer financial profile.
Property Description
Black Bear Diner is a free standing restaurant with locations across 14 states primarily in the western U.S.
Sponsors
Inexperienced investor new to NNN retail and has a weak global debt coverage ratio with little reportable income.
Challenges
- Tertiary Market & weak sponsorship
- Borrower had a tight timeline to close
- Rising interest rate environment
Solutions
- Got lender comfortable with market given the strength of the tenant
- Expedited closing process using prior third party reports
- Short term bridge to give borrower time to clean up financials
Funding
- Loan To Value: 55%
- Interest Rate: 10%
- Term: 12 months
- Prepayment: No penalty
