Senior Lending
Interest Rates
- Fixed and floating rates at competitive, market-based spreads over Treasuries or LIBOR.
- Rate locked upon receipt of an executed application with appropriate deposits.
Term
- Floating Rate: up to 5 years
- Fixed Rate: 3 - 30 years
Loan Size
- Typically $10 million to $300 million. Larger for low leverage portfolios.
- Will coordinate and structure co-investment arrangements for loans with higher proceeds.
Parameters
- Loan to Value: Up to 75% for mortgages, higher for credit transactions.
- Debt Coverage Ratio: Minimum of 1.30X or greater once stabilized.
- High grade mezzanine debt may have less restrictive underwriting parameters.
Typical Timing
- Transactions cleared for commitment and rate lock in a quick and efficient manner.
- Typical commitment to closing: 30-90 days.
Liability
- Non-recourse to borrower except for standard carve outs.
- Recourse for the carve outs to be provided by an acceptable entity.
Deposits
- Typically 2% to 3% refundable deposit required to lock rate.
- Non-refundable processing payment required for third party consultant reports.
Consultant Reports
- Appraisal
- Property Condition
- Environmental
- Seismic, as applicable
*These guidelines are representative and not an offer.
