Cash Out Construction to Permanent Loan Financing

Construction to Permanent Loan

Financial Compound arranged a $16,000,000 cash-out permanent loan for a 101,300 sq. ft. high image, street frontage retail center located in Las Vegas, NV. We structured a take-out loan for the borrower’s 100% of cost construction loan (which Compound had also arranged) with approximately $3,500,000 of additional cash out, prior to the completion of construction. The property was 60% pre-leased at the time of permanent loan closing. There were minimal holdbacks for the remaining construction and Financial Compound arranged for favorable disbursement provisions to facilitate an easy construction completion.

The permanent loan included a 10 year term and 30 years amortization, with the first 3 years interest only.  The loan to value was 72%, and loan to cost 122%, with no lender fee, non-recourse.