Summary: The Madison Group (TMG), a leading national
lending source of Mobile Home Park financing nationwide, arranged the
$2,845,000 nonrecourse loan for the purchase of an MHP in Arizona.
The asset contained long term RV tenants, park models, and is in a
tertiary market. The borrower was on the clock on a 1031 and needed
nonrecourse financing to satisfy the needs of the investment group. The loan was
finalized than 60 days and before the expiration of the 1031 exchange timeline.
The challenge to the transaction, in addition to the short
timing, was the cash flow created by high expenses. TMG worked with underwriting to
work through the expense issue and secured a nonrecourse loan with the proceeds
needed to satisfy the needs of the investors.
Property: Mobile Home Community
Loan Amount: $2,845,000
Interest Rate: 4.98%
Prepayment: Yield Maintenance
Recourse - None