Loan Criteria
Property Types
Office, Medical Office, Retail, Industrial, Multifamily, Hotel (with an approved franchise agreement), MHC, Self-Storage and Land (subject to non-agricultural lease) other asset classes on a case by case basis.
Loan Purposes
Acquisitions, refinance (including return of equity, subject to a minimum holding period.
Term
1 to 3 year primary term (with extension options, to a maximum 5 year term).
Rate
Market based spread over LIBOR (or equivalent benchmark)
Rate Type
Floating
Amortization
Generally interest-only, but may be subject to amortization (20-30 years) during extention periods.
Fees
Generally 0.5% - 2.0% upfront with extension fees (0.25% - 1.00%) and exit fees (0.50% - 2.00%). Exit fees may be waived on a case by case basis.
DSCR
>=1.0 at closing.
LTV/C
Up to 80% on an as-is basis and 75% on a stabilized basis. LTC is based on lender approved costs of acquiring the asset.
Loan Size
Generally a minimum DSCR of 1.20x based on underwritten cashflows, and a 30 year amortization, may go lower (case by case).
Locations
Generally urban and suburban locations in primary, secondary, or tertiary markets, no specifically excluded states or markets.
Prepayment
Yield Maintenance, with flexible prepayment options available.
Loan Services
Retained by an affiliate of Bayview Asset Management.
Transaction Types
Addressing Capital requirements: address deferred maintenance, upgrade systems, reposition assets (increase rents); Leasing makers: addressing near to immediate term rollover, below market rents, below market occupancy; Overleveraged assets: financing for properties with as-is LTV's that do not qualify for traditional CMBS loans that can be amortized over the holding period.
Reserves
Determined on a loan by loan basis. Generally includes funding of tax, insurance, TI/LC, replacement resevers.
Prepayment
Call protection for loans will generally be for a minimum of 12 months.
Future Findings
Available on a case by case basis, which may be subject to unused fees, higher interest rates, and/or forced funding provisions.
Recourse
Determined on a loan-by-loan basis. Generally loans be non-recourse except for standard carve-outs, unless additional recouse is required based on the specific nature of the loan.
Owner Occupied Properties
Allowed subject to minimum credit requirements for the tenant and guarantor.
Borrower
Single purpose entities, no more than 5TIC Borrowers per loan, no DST or sharia complaint borrowers.
Loan Servicing
Retained by an affiliate of Bayview Asset Management.