Bridge LOAN PROGRAM
APF is considered a leader in the hospitality industry for Capex, Bridge, Construction, and Mezzanine/ Preferred Equity loans. Other financial institutions only look at the hotel’s historical financial performance when making a credit decision. APF’s focus is on proforma based underwriting and understanding the transaction in detail. Each loan opportunity is unique. Our focus is on value-add transactions where the hotel is undergoing a conversion or the hotel must undergo a brand mandated Property Improvement Plan (PIP) or renovation. We will also look at construction loans, with strong and experienced sponsors, for a strong brand in a robust and stable market. We understand these types of transactions intimately and work diligently with clients to ensure a smooth and successful closing.
APF loan terms are based on the creditworthiness of the borrower and the viability of the project, and our model allows for transparent loan product delivery.
Access Point Financial offers short term mortgages up to $25 million or up to 70 percent stabilized value for:
- Discounted Purchase Option (DPO)
- Note Purchase
These loans can typically be closed much faster than traditional lenders, allowing a buyer to quickly acquire, renovate and stabilize the property until permanent financing can be sourced. Whether purchasing a property or refinancing current debt, an APF client can be confident in the ability to close on the transaction quickly and access the capital necessary to complete the acquisition, renovation or brand conversion.
Up to $20 Million per property. Larger loam amounts considered on a case-by-case basis.
Use of proceeds
Acquisition, refinance, discounted purchase option or note purchase paired with a recently completed or planned renovation. Allows owner to acquire, renovate and stabilize the property until which time permanent financing can be sourced
Floating blended rate typically around 8% based on credit review and scope of project
3 years, plus extension options available.
Non-recourse is available on a deal-by-deal basis.
Debt Service Coverage Ratio (DSCR) Requirements
Minimum 1.25x-1.30x at stabilization (typically 2-3 years)
As-is LTV (if refinance): Up to 75%
Stabilized LTV: Up to 65%
LTC: Up to 65%