Cetan Funds recently funded a multifamily construction loan in Portland, Oregon. The developer had approved permits for a 12-unit apartment complex in SE Portland. He needed a lender with a streamlined process who could close fast and help the project get built quickly to mitigate his risks. In this case, bank financing was not a good fit. Cetan was able to fund this construction loan to cover his vertical build costs, loan fees, closing costs and interest reserves during the construction period.
This loan will move the project forward, help the developer and builder get the property leased-up and stabilized, then provide time for him to sell or refinance with more traditional long-term commercial financing. In fact, with Cetan’s multifamily construction program, the borrower may have the option to extend for an additional two years and decrease his interest rate following lease-up of the property. This helps developers like this get a longer “runway” to line-up their long-term financing.
Loan Purpose
Location
Portland, Multnomah County, Oregon
Loan Terms
$1,982,500 at 11% interest only the outstanding balance for 2 years, with an option to extend an additional 2 years
