Jake was in need of $1,000,000 to purchase a property. He wanted to collateralize it with another asset of his, an apartment building that had $10,000,000 of existing debt with a loan that did not allow him to take out a second position. The apartment building was under contract to be sold for $22,850,000 in 60 days, and the buyer was hard on his contract with $1,750,000 already down. But the timing wasn’t soon enough to provide the needed cash for the new purchase.

Nexus took a creative approach and set up a $1,000,000 loan. It was collateralized by a 100% interest in the entity that owned the apartment building and funded in less than 24 hours.

David needed a loan to close quickly to facilitate the acquisition of a multifamly property in the Bronx. It was a value-add project that he planned to gut-rehab, so he needed a construction loan as well. He didn’t want to take two separate loans, but didn’t want to pay hard-money rates for the construction loan before he was able to start renovations.

Nexus structured an innovative solution to provide the best value for David; a $400,000 hard money loan that was comprised of $300,000 for the acquisition plus a $100,000 holdback for construction costs. The holdback both provided the security of knowing funding was available when needed and had a much lower interest rate when not in use, which helped to minimize Dustin’s costs. As an added benefit, when payoff was scheduled for a Friday and David’s capital got delayed until Tuesday, the loan was extended without any additional fees.