Multifamily – Substantial Rehabilitation Loan 
 

                                                 Loan Details

• 85% Loan-to-Cost

• Interest-only construction loan that automatically converts to 40-year permanent financing

• 40 Year Amortization

• 40 Year Term (no balloon)

• No maximum loan amount

• Low, fixed interest rate, based on market spreads over the Ten-Year Treasury Yield

• “Developer’s Fee” of 10% of cost allowed to be used towards equity requirement

• No personal liability (non-recourse)

• Negotiable pre-payment terms

• 1:20 Minimum Debt Service Coverage

• This loan is always assumable

• Third-party expenses and loan costs are financible

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