Summary: The Madison Group
(TMG), a leading national lending source for Mobile Home Parks, just completed
the $20.86MM Bridge loan for the purchase of a portfolio of mobile home parks
in Illinois.
The properties ranged widely in occupancy and the type of
financing available. The parks are in rural
settings but a reasonable distance to large MSAs.
The borrower’s goals were to the best possible financing with
greatest proceeds and flexibility on the finance side. Two of the parks qualified for CMBS and/or Agency
financing, but the other parks did not.
TMG put together a variety of financing options to meet the buyer’s
needs. The sponsors decided to move forward and close with a high leverage
bridge loan that offered them options in the future and time to stabilize the
underperforming park.
Location: Illinois
Property: MHC Portfolio - 682
pads
Loan Amount: $ 20,860,000
Interest Rate: 4.75% (30-day
LIBOR + 4.25%)
Term: 3 years plus a 1-year
extension
Amortization: Interest Only
Prepayment: 18 months
minimum interest
LTV: 74.5%