Commercial Construction Hard Money Loan in York, SC

Property Highlight

Our borrower is purchasing an existing Burger King and then redeveloping the property into a T-Mobile Corporate location. The borrower put the property under contract at an a purchase price is $625,000.00.  While under contract, the site was approved and a long term lease was signed with T-Mobile adding significant value. The projected sale of the property will be $1,685,786.00 at a 7.00% cap rate with a completed loan amount of $1,200,000.  These funds will be issued in draws as work is approved and completed.

About the Neighborhood

York, South Carolina, offers a unique blend of historical charm and modern opportunities, making it an ideal location for businesses. The city boasts a rich heritage, with well-preserved historic buildings and a vibrant downtown area that attracts both tourists and locals. This historical appeal, combined with a supportive local government and business-friendly policies, creates a thriving environment for entrepreneurs and established businesses alike. The availability of commercial real estate at competitive prices further enhances York’s attractiveness as a business hub.

Why We Like this Loan

This borrower is on his 4th deal with Yieldi! The prior 3 have been a success and have all paid off. The borrower has built a relationship with T-Mobile and is actively finding them sites, purchasing and developing them, and then selling them as an exit strategy. He also has a great credit score and we look forward to doing mant more deals with him.

Experienced Borrower

The borrower is a successful real estate investor in high-end real estate industry in Florida. He’s sold multiple Florida homes for over $2M+ and has a high net worth and strong liquidity.

Seniority

The first-priority mortgage lien position is the most senior and highest priority within the capital structure. In the event that a borrower defaults, the lien priority determines the order in which lenders are repaid. Senior lenders are always repaid first. All subordinated positions, including the amount held by the Originator and its investor syndicate, act as a buffer in the event of a deterioration in the Properties’ value.

Personal Guarantee

The Loans are personally guaranteed by the borrower, spouse, and all principals in the LLC. Additionally, the Sponsor and/or Guarantor are obligated to contribute monthly payments to maintain a tax and insurance reserve. Failure to adhere to reserve contribution requirements would lead to the triggering of a debt service and operating expense/shortfall guarantee.