Cetan Funds recently funded a bridge loan for a borrower converting a duplex rental property into two condominiums. The borrower’s existing lender would not allow the conversion and was not willing or able to see the increased value of having two condos rather than a duplex in this desirable location on the Oregon coast. Cetan funded the loan to refinance the property and provide a bridge loan until the duplex-to-condo conversion was complete. Upon completion of the necessary legal work for the conversion, the borrower plans to sell each unit to the existing tenants to net solid profits after recouping the legal costs.
$650,000 at 11% interest for 12 months