SEATTLE, WA (PRWEB) October 11, 2005
Avatar Financial Group, a private hard money lender specializing in commercial real estate loans, today announced it has completed a three-year $18.85 million bridge loan for the purchase of the Pelican Apartments, an 379 unit apartment complex located in St. Petersburg, FL.
On schedule to complete the purchase with a conventional lender, the borrower, APD Custom Homes of Alpharetta, GA., was shocked at the eleventh hour to hear the lender wanted new and additional collateral in the form of another project the borrower had underway in Panama City, FL.
With the contract to purchase already signed, and financing now dropping out at the last moment, APD’s broker turned to Avatar Financial Group to fund the commercial property loan before the opportunity and $1.5 million in earnest money was lost altogether.
Avatar Financial Group approved the commercial real estate bridge loan for the acquisition of the property with a loan to value ratio of 65% percent in a first lien position.
TR Hazelrigg, President of Avatar Financial Group discussed the project. “Banks simply cannot fund commercial real estate loans of this size – or any commercial property loan for that matter – in two to three weeks," he remarked. "Avatar Financial Group jumped into this difficult situation and made it happen. We made sure our client didn’t lose his $1.5 million earnest money because of a last minute demand by the conventional lender."
Hazelrigg noted that the time constraint for funding was fairly common for Avatar’s clients. "We fund mortgage bridge loans on a timeframe that banks can’t match," he said. "And, since Avatar doesn’t charge a pre-payment penalty, APD will be able to refinance as soon as they are ready.”
The property sits on 31.9 acres of beautifully landscaped land with lakes and water features located at 10200 Gandy Way in Saint Petersburg, an excellent location for residential properties.
With the property now purchased, long term plans include conversion to condominiums. In the immediate future, the client will refinance the property with another bank. Avatar’s bridge loan made that possible.
ABOUT AVATAR FINANCIAL GROUP
Based in Seattle, WA, Avatar Financial Group is a private hard money lender that provides commercial real estate loans in as little as two weeks. Avatar Financial Group specializes in mortgage bridge loans for income producing commercial, industrial, and investment residential properties nationwide, ranging from $1 million to $15 million and above. For more information, visit http://www.avatarfinancial.com.
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