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NC’s $1.75 million loan participation with Hope Enterprise Corporation, part of a $12 million New Markets Tax Credit transaction, will bring the landmark Lamar Life building, one of the largest in Jackson, MS, back to life with new commercial space and apartments.
| Uses | Acquisition-rehab and refinancing of operating rental, commercial, and mixed-use properties, including in New Markets Tax Credit developments | |
|---|---|---|
| Loan Amount |
Up to $7,000,000 for Mini-perm Loan Up to $2,000,000 for Permanent Loan |
|
| Loan Term |
7 years for Mini-perm Loans 18 years for Permanent Loans |
|
| Interest Rate | From 6.25% | |
| Collateral/security |
1st and 2nd position lien on financed and/or unencumbered real property, pledged earned developer fees, and grant funds, assignment of ownership interests Maximum LTV 95% |
|
| Payments |
Monthly P&I payments based on 15 to 30-year amortization Minimum DSCR of 1.10x Payments made from operating cash flow of the property |
|
| Repayment Source | Refinancing or sale of property | |
| Fees |
Application fee - $1,000 Origination fee – 1.00% to 1.50% of loan amount |
|
| Required Documents | Appraisal, market study, Phase I/II environmental assessments, capital needs assessment for operating property | |
