CASE STUDY: COMMERCIAL LENDING

 UNDER CONSTRUCTION

UNDER CONSTRUCTION

 COMPLETED PROJECT

COMPLETED PROJECT

LOS ANGELES, CA

The project, 12 Single Family Townhomes, built under L.A.'s small-lot subdivision ordinance, located in the Miracle Mile section of Los Angeles, was in mid-construction when the developer wanted to take out equity to finance the project’s completion.

the challenge

Traditional financing was difficult to secure because the project was in mid-construction and the sponsor wanted a cash-out refinance from the equity in the project.

the solution

Arixa provided the developer a $6,800,000 loan to pay off existing financing and to fund the project’s completion. Out of the twelve units, the developer sold four units ranging from $968,000 to $1,040,000. The sales prices for the remaining units are projected between $930,000 and $1,000,000.

results

Our private investors & resources allowed our client to refinance and complete construction in an efficient and timely manner. To learn more about Arixa’s commercial lending, contact us today.

 

project snapshot

Table Style
Property Type 12 Townhomes
Funding Date April 2016
Loan Amount $6,800,000
Term 15 Months
Loan Type Refinance & Construction Completion
Estimated ARV $10,680,000
Loan-To-Cost 77%
Position Senior Loan