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Loan Type: |
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Fixed-rate,
non-recourse
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Amount: |
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$2 to $50 million
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Loan-to-Value: |
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Maximum of 75%
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Debt Coverage: |
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Minimum of 1.25x
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Interest Rate: |
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Competitive spread
over the comparable Treasury (On- the-Run, 30/360)
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Term: |
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3 to 10 years
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Amortization: |
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Typically 25 years,
longer available case-by-case
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Rate Lock: |
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At application
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Commitment: |
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Written commitment
typically given within two (2) weeks of application (prior to Third
Party Reports).
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Application Fee: |
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$5,000, payable to
lender at application
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Placement Fee: |
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1.0%, payable to
Progressive
at closing
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Deposit: |
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2.0%, good faith
deposit, payable at application and fully refundable at closing.
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Recourse: |
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Non-recourse, subject
to standard carve-outs
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Prepayment: |
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Yield maintenance
(fixed-declining available for shorter terms)
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Secondary Financing: |
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Permitted, total debt
limited to 75% to 80% of appraised value
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Assumability: |
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Fully assumable with
payment of a 1.0% assumption fee
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Borrowing Entity: |
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Non-SPE acceptable
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Ground Leases: |
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Considered on a
case-by-case basis
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Third Party Reports: |
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Appraisal,
environmental and structural reports are required. Approximate cost for Third Party Reports, $10,000.
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Legal: |
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Lender legal will be
performed by lender appointed counsel. Approximate cost for Legal,
$8,000.
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TI/LC Reserves: |
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If applicable to
property type, Tenant Improvement and Leasing Commission Reserves will
be calculated and underwritten based on market conditions and tenant
expiration schedule. However, TI/LC reserves are not typically
collected.
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Replacement Reserves: |
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Replacement Reserves
will be calculated and underwritten based on engineering report
findings. However, Replacement Reserves are not typically collected.
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Tax and Insurance: |
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Monthly tax escrows
will be collected. However, Insurance Escrows are not typically
collected.
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Financial Reporting: |
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Annual financial
statements are required within 90 days of fiscal-year-end.
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Documentation: |
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Standard documents
will be utilized.