CMBS Lending Program

RED Capital Group offers CMBS financing as part of a comprehensive lending solution. Building upon RED’s strong financial backing, our bankers and our servicing group can create highly competitive financing packages that directly address your property’s financial needs.

PRODUCT HIGHLIGHTS - NATIONWIDE

  • Direct Lender
  • All property types:
    Multifamily, Retail, Office, Industrial, Self-Storage, Student Housing and Hospitality
  • Highly competitive rates with maximum proceeds
  • Non-recourse & Assumable
  • Cash out available
  • IO available
  • Early rate lock available

GENERAL TERMS:

(Varies based on property type, quality and market conditions)

Borrower: A single-purpose, bankruptcy remote entity
Recourse: Non-recourse with standard carve-out provisions
Loan Amount: Greater than $1mm with no limits
Loan Purpose: Acquisition or Refinance
Term: 10 years (will consider 5 & 7 years)
Interest Rate: FIXED - Spread over SWAP/Treasuries
Interest Computed: Actual/360
Amortization: 30 years maximum
Minimum DSCR: 1.25x (contingent on property type)
Maximum LTV: 75% (contingent on property type)
Minimum DY: 8% (contingent on property type)
Rate Lock: Prior to closing - No Fee
Subordinate Debt: Generally not allowed
Prepayment: Lockout: later of the 2nd anniversary of the sale and securitization of the Loan or the 3rd anniversary of the closing date; then, Defeasance; then, Open on the 3rd payment date prior to the maturity date of the Loan (Yield Maintenance considered as requested)
Reserves: Real Estate Taxes and Insurance collected monthly
TI&LC Reserve: Collected monthly as determined by Lender for all Commercial properties
Repair Reserve: Generally, $250/Unit on Multifamily & $0.15/SF on Commercial properties
FF&E Reserve: Hotels only - 4% of gross revenue
Cash Management: Required in some form

In its prequalifying review, RED Mortgage Capital, LLC will attempt to estimate both the loan amount and the fees and costs associated with the transaction. Actual loan amounts and actual fees and expenses may vary from the prequalifying estimates. A prequalifying estimate is not a commitment to make a loan.