South End Capital Closes $12.6M in ‘Non-Conforming’ Loans in March; Over $100M Projected for 2015
Los Angeles, CA (PRWEB) April 08, 2015 -- Earlier this week, niche lender South End Capital Corporation (SECC) announced an impressive $12,575,750 in total March closings, just the latest feat in the company’s trajectory toward its objective: to become a premier lender by meeting the unmet financing needs in the commercial real estate and business marketplace.
From the company’s inception in 2009, SECC’s mission has been to provide programs and loans that are relevant and responsive to the needs of the average commercial borrower—needs that have so often been side-stepped by conventional lenders and banks in their scuffle for A+ loans.
“From the start, SECC has shaped its programs around the needs of the everyman,” said Managing Director Noah Grayson. “Even in today’s market, the uncomfortable truth is that most borrowers are still being shunned by the banks. Many are still struggling to get back on track since their recession losses, but conventional lenders won’t write their loans despite reestablished credit, and even a track record of recent business or real estate investment success.”
In response to this large, underserved segment of the marketplace, SECC formulated a lending profile supported by its mantra, “Bankable Terms for Unbankable Borrowers.” The lender’s programs are a veritable panacea for the borrower who can’t secure bank or conventional financing. What’s more, clients are usually pleasantly surprised at the competitiveness of the terms.
“Our loan rates and terms meet the needs and reasonable quantifiable risk of our borrowers. We simply see no point in making a loan unless it leaves our borrower better off than when he or she came to us,” stated Grayson. A sampling of the firm’s March loan activity demonstrates that philosophy:
• SECC executed a $235,000 loan against a residential condominium in Hawaii as a commercial transaction because it was non-owner occupied and closed in an LLC. SECC underwrote the transaction (passed over by conventional lenders) as a stated loan, did not require tax returns and was still able to offer the borrower a rate of 6.99% fixed for three years, amortized over 30.
• SECC provided a $2,875,000 SBA 7(a) loan to a borrower who could not qualify for bank financing because a) he had recently exited bankruptcy, b) the hotel which served as the loan collateral was un-flagged (not carrying a national brand), and c) the borrower needed $300,000 for property renovations. SECC delivered the loan with a notably modest 5% interest rate, amortized over 25 years and with the cash needed to upgrade the property.
• SECC closed a $4,600,000 bridge loan on a luxury waterfront parcel in Southern California, allowing the borrower to exit bankruptcy and providing the cash needed to complete plans necessary to position the property for a sale. SECC structured an 18 month interest-only term at 11.5%, with no prepayment penalty and an interest reserve to cover loan payments.
• SECC closed almost $1 million in unsecured private business loans in March, highlighting the firm’s successful segue into the private business lending marketplace. Most recently, SECC provided $200,000 in working capital to a restaurant owner who had difficulty obtaining financing elsewhere. SECC closed on a cash flow – based loan with a three-year term at 14.99% and no prepayment penalty; no real estate collateral was required.
SECC’s extensive array of loan programs for commercial and residential real estate investors/owners and small businesses include stated and light documentation programs. According to Grayson, “March is pointing the way to a 2015 with over $100 million in SECC fundings for the ‘everyman’ borrower. I invite anyone who has been turned away by banks, main street or conventional lenders to give us a call.”
SECC welcomes both borrower and broker inquiries. The firm also offers generous referral fees to approved partners. To inquire about the many innovative programs available through South End Capital Corp., contact Noah Grayson directly at (888) 268.7778 ext. 5, or noah(AT)southendcapital.com.
ABOUT SOUTH END CAPITAL CORPORATION
Headquartered in Los Angeles with offices nationwide, SECC is a direct commercial real estate lender providing non-conforming and private money loans up to $5 million nationwide, and offering SBA, business and bridge loans up to $20 million in participation with third-party investors. Additionally, SECC offers same-day term sheets, excellent service and prompt responses, is broker-friendly and pays referral fees to approved partners. To learn more about SECC, visit http://www.southendcapital.com or contact Noah Grayson at (888) 268.7778 x 5 / noah(AT)southendcapital.com..
Also tagged: bridge loans, stated loans, hard money loans, non-conforming loans, private business loans
MEDIA CONTACT:
Katherine Roman
katherine(AT)southendcapital.com
Noah Grayson, South End Capital Corporation, http://www.southendcapital.com, +1 8882687778 Ext: 5, [email protected]
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