$1.4 Million Cash-Out Refi & Acquisition
|ST PETERSBURG, FL – Bison Financial Group, a real estate advisory firm based here, announces the closing and funding of loans secured by a portfolio of rental properties in the Charlotte, North Carolina MSA. The deal involved a cash-out refinance of an existing portfolio of scattered-site, single-family rental homes with the proceeds invested as the downpayment for the acquisition of two apartment properties.
The new loan has a fixed rate of 5.85%. Bison placed the loan with a rapidly growing non-bank multifamily lender. The loans presented logistical challenges as the portfolio of scattered-site rental homes needed to close first to provide the cash downpayment required to purchase the two apartment properties. The acquisition / renovation loan secured by the 2 apartment properties provides sorely needed funds to renovate and modernize the properties.
The acquired properties were owned by a long-time owner who prioritized 100% occupancy over pushing rents to market levels. It is anticipated that once the properties are renovated with new kitchens and baths the rents can be increased 75 to 100% over current levels.
Fun fact: Bison collaborated on a $15 million line of credit transaction with the key principal a few years back.
The principals of Bison Financial Group arrange debt and equity on income-producing commercial real estate properties nationwide. Bison’s clients are entrepreneurially minded investors that constantly need access to creative, unconventional sources of capital.