$40 Million Portfolio Acquisition in 3 Weeks

Business Loan Capital Overview

BLC is a trusted and established bank-alternative direct lender that offers different types of commercial real estate loans.  These include short-term bridge loans, conventional loans, and SBA 504 loans. Many credit worthy applicants fall “outside the box” of traditional financial institutions, and BLC has the people, process, and experience to service this important need.  Areas of focus include owner-occupied properties, transitional properties and special purpose properties. The BLC team is led by a group of real estate experts with over 80 years in commercial real estate lending and representing over $1.5 billion in closed real estate transactions.

How BLC Turned Around $40 Million Portfolio Acquisition in 3 Weeks

Our success story can be told through one of our clients’ testimonials. During the bidding stage, the customer first considered BLC as their lender on a $60,000,000 portfolio purchase with a gross loan amount of approximately $40,000,000. However, the client was misled by the competing lender so the client mistakenly picked the wrong lender, and not BLC.  A choice they soon regretted because that lender could not deliver as promised or on time, so with time now severely compressed to only 3 weeks to close the client reached back out to BLC to save the day.

The transaction involved 8 separate loans over 9 properties all located in West Texas.  The client had a significant escrow deposit, as well as the opportunity to purchase the desired portfolio at risk. BLC was not only able to complete this deal in the required timeline of just three weeks they did so at their originally promised structure and terms.

With the help of David and his team, BLC was able to deliver when others could not.  The complexity of the transaction was beyond the size, number of properties, and financial considerations.  It also involved a double escrow and a NNN Sale-Leaseback structure involving multiple parties as part of the escrow and closing.

The above case study points out some important aspects about BLC:

• Fair and consistent. BLC did not take advantage of the borrower’s precarious situation and revise the initial rates and terms offered. That demonstrates integrity and a focus on providing value to our borrowers.
• Quality services. In only three weeks, we were able to provide our borrower with terms and service that our competitors were unable to provide in a longer period of time.
• High-level flexibility. Despite the tight deadlines and multiple parties involved, our company was able to develop an effective process to appease the multiple parties involved that the transaction was not only going to happen, but it was going to happen on time.
• Success and follow through. Lastly, the performance and professionalism of BLC on this transaction is typical of what every borrower can expect on every transaction.  BLC offers the most professional and time efficient services in the market, and the moment you complete a deal with BLC you will be looking for the next deal to close with them.

Broker’s testimonial

The testimonial from the borrower’s broker stated that he was more than impressed that BLC was able to turn around a $40,000,000 complicated transaction in just three weeks. He was impressed by how we dealt with his client.  From his point of view, he was impressed with BLC’s staff because of their high level of commitment, proficiency and clear communication.   They give credit to David Manser and the entire BLC team who did everything in their power to offer help to his client who was in a critical time crunch and needed help urgently. He appreciates the fact that the company was able to deal with the situation regardless of the pressure that came along with the deal; factoring in the complexity and more so the time constraints the transaction required. We pride ourselves on our clients’ success and are always willing to offer any nature of help within our powers to exceed our clients’ expectations.

Types of loans offered by BLC:

1. Short-term bridge loans
   1. The loans are short-term in nature and typically used to bridge some sort of time gap.  Whether it is the need for a quick close, time to stabilize a property, or overcome a business transition, BLC’s bridge loan program can be an effective tool for setting up and preparing for long term permanent financing. BLC’s bridge lending program provides loans for 12-36 months.
2. Conventional Loans
   1. These loans are typically underwritten on a 25 year amortization with a 5 year term.  These are typically for the borrower that has a longer transitional period than a bridge loan can accommodate, as well as for borrowers that don’t want to be locked down for longer than 5 years.
3. Bridge to long-term SBA 504 Hybrid loans
   1. When a borrower does not have the time to close an SBA loan (typically 60 to 90 days), or for instances where the borrower may not currently qualify for SBA financing, then this program is the perfect fit.  Comprehensively, the hybrid program blends both the bridge loan and the SBA CDC/504 loans and can provide financing from as low as $1 million up to $15 million for all current or future owner occupied commercial real estate properties.
4. Long-term SBA CDC/504 loans
   1. This program is for longer term transactions with up to 90% LTV available on commercial real estate properties that are at least 51% owner occupied.

Providing all these kinds of financial aid alongside their expertise in dealing with customer needs makes BLC one just one of the best bank-alternative lending institutions in the market, but simply one of the best lending institutions.