Small Loans

Small Term Loans

Term loans are a type of loan granted to an owner of a completed income-producing property as a means of repaying existing financing (interim or long term) with loan terms and conditions that fit the borrower, the property and the market. Interest rates and terms vary depending on the borrower, property location, property type and loan-to-value ratio. Borrowers often wish to renew  Pendfund Income Fund I loans. Loans in this class are expected to average 12 to 60 months in duration and will be underwritten to a maximum 75% loan-to-value with normal ancillary security in place.

  • Fixed-term firsts for all property types
  • Conventional interest-only or fixed-rate amoritizing loans
  • Purchase financing and mature-term refinancing
  • Loan flexibility structured to meet a borrower’s specific need
  • Variable term durations (typically 1 to 5 year terms)
  • Loan size range: typically $200,000 to no limit
  • Stand-by Commitments available
  • Pricing: 250 to 500 bp over GOC

Typical Small Loans

  • Min/Max Loan Amount: $200,000 to no limit
  • Term: 6 months to 5 years
  • Amoritization: Interest only or Flexible Amoritization
  • Interest Rate: Fixed from 3.5% + processing costs
  • Flexible Payment Options
  • Borrower Recourse or Guarantor usually required
  • Quick written response time

Small Interim Loans

  • First and Second Mortgages (on most asset types)
  • Up to 85% Loan-to-Cost/Value (income producing) Properties
  • Acquisitions, Bridge Loans, Refinancing, Equity Take-Out
  • Standard Lender Due Diligence (Borrower, Legal, Appraisal, Environmental & Engineering Reviews)
  • Clearly-Defined Exit or Term Strategy

Small Bridge Loans

  • Bridging solutions for both first and second position
  • Flexible term and loan conditions to custom fit Borrower/property situation
  • Bridge while awaiting conventional-term financing during work underway
  • Size range: $300,000 to $20MM

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