HORIZONTAL & VERTICAL LOANS
Highland Capital offers flexible A&D loans from $5M to $50M for experienced borrowers, covering multifamily, student housing, single-family, and land development projects. Our strategic expertise and comprehensive loan programs make us a trusted partner for developers and investors.
Highland Capital is the preferred capital partner for professional real estate investors seeking prompt and innovative financing solutions that support all phases of their residential projects. With access to $1billion of capital markets, we are well-positioned to support your clients’ needs and drive their projects to success.
Key Qualifying Factors:
- Sponsor is ready and willing to go into vertical construction loan
- Must have 10% liquidity reserves.
- Sponsor completed other ground up multifamily projects similar to loan request
Typical terms:
- 24-month term
- Draw fees – one-time fee – 50 bps of construction holdback amount
- Full recourse
- Ongoing liquidity loan covenant: 7.5% of global non-cash flowing debt for sponsors
- No Exit Fee
- No Prepayment Penalty
- Release provision greater of a) 125% of allocated loan amount OR b) 100% of net sales proceeds from sale
- Variable Interest Rate 5.50% + 30-day SOFR (Interest rate floor 9.75%)
- Only pay interest on advanced funds
- 2%-2.5% origination fee
Key Benefits of Private Lending:
- Innovative Financing Solutions: We offer a range of financing options, including construction, bridge, renovation, and long-term rental hold loans, all tailored to meet the specific needs of each project.
- Speed and Flexibility: Our lending process offers faster access to funds with less red tape, ensuring your clients can keep their projects moving.
We look forward to working with you and open to answering any questions
Not sure whether you need the Fix & Flip Single Loan or the Fix & Flip Line of Credit?
- The Fix & Flip Single Loan is designed for investors who need funding to flip a single investment property.
- The Fix & Flip Line of Credit is a line of credit offered to experienced investors who plan to acquire and/or renovate multiple properties.
- All Fix & Flip lines of credit allow investors to close quickly.
- Both Fix & Flip Single Loan and Fix & Flip Line of Credit offer the option of rehab funding, if needed.
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