The Madison Group (TMG), a national source of MHP/MHC financing,
arranged a $1.5MM loan to refinance a
116-unit MHP in Texas. The final terms
were a 3-year term, interest only for the first 12-months, with a rate of 4.95%. The loan is recourse and the borrower
received cash out from the transaction.
The 116-unit mobile home park is located in a growing east
Texas tertiary market with city water and sewer services. 56% of the occupied units are park owned
homes.
The borrower’s goals were to take cash out to invest in
improvements to its mobile home park and to invest in a commercial real estate
opportunity that the borrower had under contract in another state.
TMG was able to help the borrower meet his goals by offering
several financing solutions and loan options that allowed the borrower to
select the optimal financing solution that met the timing of the borrower’s
priorities and objectives.
Location: Texas
Property: Mobile Home
Park
Loan Amount: $1,500,000
Interest Rate: 4.95%
Term: 3 Years with
options to renew
Amortization: 20 Years
with the first 12 months interest only
Prepayment: 1%
LTV: 65%