Silver Arch Capital Partners, a Hackensack, New Jersey–based private lender that specializes in bridge loans to owners, investors, and developers in need of funding outside the scope of traditional banks and lenders, has launched a new national loan program that may interest SoCal CRE investors, according to a release from a representative of the firm.
The new program targets commercial real estate borrowers searching for a fast injection of capital for income-producing properties at affordable rates, the statement says. Silver Arch Capital Partners’ president and CEO is quoted in the release as saying that the new lending program offers funding from $1 million to $12 million and that rates start at 6.75 percent plus 1.5 points. The statement also reveals that the program is limited to income-producing properties based in the United States.
Wolfer is also quoted as saying, “Many borrowers are applying for loans in a tight lending environment, so we set out to create a loan program with favorable rates and terms that complements our other programs.” He explains that the firm steps up when banks and other conventional lenders may not be willing or able “by creating a program to address the unique needs of this sector of the commercial real estate market.”
Wolfer adds that loans from his firm can help property owners looking to stabilize a property or expedite a lease-up.
The firm has closed its first two loans under the new program, both in New York, according to the release. The first closed loan was secured by a tenant-occupied condominium located on West 22nd Street in Manhattan. The 21-story building in the Gramercy Park neighborhood features a full-time doorman and concierge, a state-of-the-art fitness center, cold storage, a playroom, and a furnished rooftop deck and lounge with an outdoor kitchen.
The second closed loan was secured by an 8,600 square-foot commercial property located on Southern Boulevard in the Bronx’s Longwood neighborhood, the statements says. The four-story building houses a cell-phone company that occupies a ground-floor storefront. The owner is currently actively leasing the three floors of office space plus the remaining ground floor space. Upon completion, the property value will be $3.5 million, the release says.
Wolfer says in the release, “Access to capital can be vital to a property’s continued operations, even when the property is generating revenue. That makes our new lending program ideal for apartment buildings, offices, retail locations, and other revenue-generating properties that need capital quickly and at good rates.”
He adds that timing is of the essence for many property owners, with conventional banks simply taking too long to greenlight the necessary funds. “Borrowers come to us because they know that we can quickly meet their needs. As a private lender, we are afforded the flexibility and speed borrowers could not obtain otherwise.”
SoCal Real Estate featured Silver Arch Capital Partners in a story about non-traditional lenders in our July issue.