Eligibility
Standard multifamily properties including MHCs. Seniors and student housing loans may be eligible on a case-by-case basis.

Loan Amounts
Single asset loans of at least $25 million or Multiple Asset Transactions of at least $25 million to be delivered within 12 months.

Term/Amortization
5, 7, or 10 year terms
Up to 30 year amortization. Interest Only available but subject to some restrictions.

Interest Rates
Floating rate spread over 1 or 3 month LIBOR

Debt Service Coverage Ratio
1.00x minimum depending on LTV and other risk characteristics

Loan to Value
75% maximum

Interest Rate Caps
Must be purchased separately prior to rate lock and closing

Personal Recourse
Interest rate cap must be purchased separately prior to rate lock and closing

Conversion Option
May be converted without penalty to a 7 or 10 year fixed rate loan on any Payment Change Date occurring at least 3 months after the first payment date with some restrictions. Conversion is not allowed in the last 3 months prior to maturity.

Prepayment   
1 year lockout with 1% prepayment premium thereafter or no lockout period with a declining prepay schedule

Origination Fee
1% or less when applicable

Third Party Fees
Includes legal, appraisal, engineering, and environmental reports. Seismic reports and survey may also be required.

Replacement Reserve Impounds
Required – not less than $150/unit (waiver considered for special circumstances)

Taxes and Insurance Impounds
Required (may be waived for low leverage transactions)

Assumability
Assumable with lender approval and a 1% fee

Supplemental Mortgages   
Available after 1 year. Up to 2 available, plus 1 more upon sale and assumption. $500,000 minimum.

Click here for printer friendly pdf