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Apartment Loans: Workout and refinance

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Apartment loans:  $9 million loan workout and refinance for portfolio in Los Angeles

Commercial Mortgage Broker Financial Compound resolve these non-performing apartment loans, secured and cross collateralized by an apartment portfolio in Los Angeles.  We structured a loan refinance with the existing lender accepting a discounted payoff of the loan, as well as waiving prepayment penalties.  Financial Compound played an important role in helping the existing lender analyze the marketable value of the loan. 

A number of agency lenders could not stomach this refinance request and Commercial Mortgage Broker Financial Compound worked diligently to maximize refinance proceeds, including a sophisticated payoff and release structure to acomodate 2 lenders closing new loans at different times for portions of the portfolio, and enabling the borrower to minimize interest carry and capital contribution.  New loan terms include (on a blended basis) a 10 year term, 30 year amortization, 6.13% fixed interest rate, no lender fee, less than 20% recourse, 73% LTV, 1.25 DCR.

Commercial mortgage broker Financial Compound can be a valuable asset to assist borrowers and lenders with commercial loan workouts, having performed numerous successful modifications in a distressed context.  With our track record of success and proven methodology, we have resolved complex financial problems and helped the parties determine the best course of action.  With Financial Compound no up-front fees are required and we receive compensation only upon the closing of a restructure.  This pricing model is an outgrowth of our company philosophy and is unique in the industry.  Our long history and relationships with the capital providers, coupled with our in-depth market knowledge, have helped us complete restructurings efficiently with senior level professionals at the lending institutions.  If we think you’re right, we’re willing to fight.  It’s commercial mortgage broker Financial Compound’s stimulus plan.  When we work out your loan, we make a beneficial impact on the economy and capital markets of greater magnitude than the transaction itself.

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