CASE STUDY | PROPERTY

 

$7.5 Million "Cash Out" on Entitled Land | Los Angeles, CA

To Acquire Additional Investment Property 

 

 

 

 

 

 

 

Lending Challenge:

  • Client offered vacant entitled land (approved for Hampton Inn & Suites) as security for "cash out" to purchase an additional property.

 

  • Client required $7,500,000 additional cash to complete the acquisition but did not have the cash available.

 

  • Client needed the $7,500,000 cash in 20 days to close the acquisition in 21 days.

 

  • The vacant entitled land was valued at $22,000,000.

 

Testa Capital Group Solution:

 

  • Visited the vacant entitled land and met the client the next day.

 

  • Issued a loan term sheet that day.

 

  • Completed and signed loan docs in 18 days.

 

  • Funded $7,500,000 on day 20 and completed closing the escrow on time.

 

  • Due to successful performance, client had Testa Capital Group finance additional properties in his portfolio.