JOHN WILSON BROKERAGE

Commercial Real Estate Financing / Brokerage & Appraisal  : Private Equity Financing Options Available for your Commercial Property in Arizona.

I can offer the following general commercial loan terms: Lien position – First Deed of Trust. Loan to value Up to 70%.  Amortized for 10 to 25 Years.   Interest only also available. Interest rate/points are deal specific.  I am interested in finding good prospects for commercial loans on nearly every type of real estate  project. We offer Purchase Money, Refinance, Cash-out, REO Portfolio Acquisition (except single-family residence),  also some types of new development and  related construction. I have Commercial Real Estate loans for Industrial property, Apartments, Office, Warehousing and Mixed-Use.  I have PEG niche placement opportunities for Special Purpose Properties including Hotel & Motel, Automotive and Retail buildings including Restaurants. 

PRIVATE EQUITY lending is asset based lending focused primarily on the value of real estate and the method of repayment. Credit scores and credit history are not primary decision-making factors. We make loan decisions promptly. Your loan request is evaluated based upon your unique circumstances. Fast decisions and funding.  I am willing to compete for your business.

• simple pricing
• no excessive fees
• no complicated matrix
• fixed rates 

 Private Equity Real Estate:  Commercial Loan Types:

• Owner-Occupied / NOO Investment properties
• Commercial Office buildings 
• Retail Buildings
• Industrial Buildings and land loans
• Hospitality Mortgages
• Apartment Loans
• Hard Money for Most Land & Buildings Except 1-4 Family Residential

PRIVATE LENDING MEANS CERTAINTY OF EXECUTION.

Banks today are often lending at interest rates in the low-to-mid 4% range. So naturally, all borrowers want these rates. Many borrowers with stabilized cash-flowing properties can actually qualify for them. So it goes without saying that few people actually want to borrow from a private lender, even from a quality-focused private lender that offers pricing at the low-end of the Private-Money-Rate spectrum.

However in today’s real estate lending environment certainty of execution trumps cheap money with respect to winning deals.  You should pay cash if you are in a position to do so and then finance your new acquisition with a bank later.

However for those who are not in a position to pay cash, it may be more effective to close with private money first and then approach banks and refinance later once all the ducks are in a row.

The fact is that most good buying opportunities are not for the properties that are already stabilized and fully cash-flowing.  The best buys are almost always those where an intelligent opportunistic buyer needs to apply some combination of imagination, management or operational expertise.  This expertise and ability is what is needed in order to unlock and begin to realize a property’s hidden value. This is how value is created after all.

Banks are a great choice to finance these properties once they have a year or two of historical stabilized cash flow to point to. But we all know that most banks are not going to be interested in such deals on Day One. Thus the role of the private bridge lender begins to come into focus. You can buy it with a bridge loan, execute on your plan and then refinance at a lower interest rate with a bank. Or depending upon your business model and prevailing market conditions down the road, skip the refi and sell for a good profit.

A lot of today’s best opportunities involve buying defaulted debt. While banks are a terrific choice to finance a cash-flowing, stabilized asset, they are not tremendously useful to those seeking to buy loans in foreclosure at a discount to face value, or for those seeking to buy a 90% completed project that requires both acquisition and completion dollars.

Those of you who recognize opportunity should either have plenty of cash at your disposal or a good working relationship with a private lender capable of actually financing these acquisitions. We will go out of our way to find a way to innovate and do loans with a borrower that we know and have come to trust.

Other attractive deals may have Certificate of Occupancy issues creating a buying opportunity. Private lenders are often much more willing to close with a temporary C of O than banks, or to close in situations where value is being created because of a change of use (such as offices or apartments being converted to retail space). Bridge loans are good for these transitional stages with the game plan calling for an eventual bank loan take-out once the issues have been resolved.

We can usually handle most adverse borrower history or information as long as there are compensating positive factors, and most importantly, if we are told about any issues up front. The best approach is always for a borrower to be straightforward with us from the beginning about any of the partners’ history and any property issues before signing the term sheet.

The buyer that can close with certainty will always win more deals than the guy who can close with the lowest-rate mortgage. You can always replace a bridge loan with a cheaper bank mortgage later (especially as most private loans have open prepayment after a short lock-out period), but you cannot necessarily get a second chance to get a compelling new deal under contract. I am willing to compete for your business.

John F. Wilson – Arizona Department of Financial Institutions licensed Mortgage Broker # 0903125 & National Mortgage License NMLS #182972.  I am designated the Responsible Individual / sole owner of AZDFI Mortgage Broker License #0903125. / I am licensed by ADRE as a Real Estate Broker /  and by the Arizona State Board of Appraisal as a Certified General Real Estate Appraiser.

Please call me at 928-699-9535  or Email:  johnwilson@infomagic.net