South Amboy, NJ – at Progress Capital our core mission is to match our clients with the right lender, leveraging their existing assets to secure the right type and amount of capital to continue growing their commercial real estate portfolios, execute renovations or recapture equity for an alternate purpose. However, we also work closely with clients whose primary business is not in CRE ownership but rather a different industry wherein they have purchased their said business locale but do not intend to own more commercial real estate.
One such client, 50% owner in a Monmouth County bus collision and repair center, approached David Cappello to ascertain financing for the current debt free property at which the business currently operates. The property, a 25,000 SF industrial facility operating as a collision and repair shop for over 50 years, also includes a 3-story single family home and extra large parking area on 5 acres. The single-family home to date has been historically offered to existing employees of the business rent-free, while the extra parking generates rental income housing local school, charter and community buses while out of service.
Cappello was able to negotiate $1,350,000, representing a 70% loan to value on the existing asset. The borrower will use the proceeds of the loan to buy-out his current partner’s $1,200,000 stake in the business/property and execute $110,000 in renovations to the single-family home which upon stabilization will be rented to a third-party going forward.
Additional terms of this loan include:
Progress Capital Advisors loan programs include Fixed Rate Loans, Construction and Specialty Financing as well as Directly Funded Bridge Loans. With over $40 Billion in closed loans and $100 Million in bridge and direct lending, we will get you to the closing table … plain and simple. #thatsPROGRESS