The Situation
Experienced Seattle based builder contacts SFG mid-month to assist with a $5,250,000 refinance and construction completion loan. Funds were needed by a hard deadline of month-end to pay off the existing debt and finish the remaining construction.
The Property
This terrific 32-unit construction completion project in Burien/Seattle, WA was well underway with all siding, roofing, electrical, and plumbing already completed. The location is strong, with major transportation lines and easy access to the downtown corridors of Burien and Seattle.
The Challenge & Solution
Underwriting the risk of loss of priority and exposure to mechanic’s liens is tough to overcome. Additionally, securing full, extended title insurance coverage with mechanic’s lien endorsements for a project so far along is not easy to do, especially when the clock is ticking. Industry relationships developed over the past 30 years, as well as SFG’s own in-house construction department greatly aid in the mitigation of the risks associated with partially completed projects. Not to mention having an experienced, organized sponsor doesn’t hurt. Close it Quick, Close it smart.
Recap
Working through the underwriting, title issues, and other challenges under a time crunch required considerable focus from all involved. This deal is another excellent loan and sponsor to add to SFG’s lending portfolio. An example of how SFG continues to provide Real Estate Capital at the Speed of Business.
Our excellent pricing, experienced team and quick closings are just a few of the reasons why SFG continues to be the most well capitalized source of funds in the Western United States!
