419 & 423 Parkway Drive
Loan Summary
Currently Considered
Background
- Property built as new construction in 2005
- Individual condos were selling in the range of $450,000-$500,000
- As-is value approximately $100 per sq.ft. units averaging 1,200 sq.ft per unit.
- 6 of 8 units were recently foreclosed
- Borrower has recently acquired 3 units and has another pending closing.
- Experienced Borrower / Developer
- Good credit
Property Information
- Collateral: 423 Parkway Drive Unit #2 Atlanta, GA 30308
- Additional Collateral: 419 Units #3, #4 & 423 Unit #1 Parkway Drive Atlanta, Georgia 30308
Purpose & Structure:
- Borrower is planning to finalize a 6 units purchase within 2 separate buildings. Each building has 4 units. Borrower has purchased 3 units Cash (approximately $150,000); Units 3 and 4 in building 419 and Unit 1 in building 423.
Borrower desires financing in building 423 for remaining Units 2, 3, and 4 and possibly recoup cash on a unit or two he has already purchased. The loan however would encumber the entire building 423 and 2 units in 419.
- Borrower desires financing of renovation cost for all 6 units. Estimated 135K.
Action Plan: Purchaser plans to make units rent ready, improve minor landscaping and gate repair in common area, and will then rent them for average market rates of $1,000 per unit. He will also pursue selling them individually. HFCG will set a sales release provision to exit out upon pay off of first 1-2 units.
Comment:
- Excellent Loan to value
- Borrower has great credit
- The additional collateral that we are taking has rent of $850
Exit Plan:
- Sale or Refinance. Borrower has excellent credit
