Seattle Funding Group of California provided highly-responsive, bridge acquisition financing for the experienced sponsors on this prime, coastal in-fill development site. SFG of CA was first contacted by a known equity provider about the site’s potential, and who further inquired about our interest in supplying the debt component for this time sensitive transaction. SFG of CA knew the submarket and the property. In addition, we had previously provided construction financing to the sponsors on another successful, in-fill development. The $4.368M land purchase had to close in less than two weeks from that first phone call; SFG of CA’s market knowledge and relationships made a critical impact in capturing the purchase opportunity for the sponsors.
Within days of the first call, the initial equity provider elected not to advance, and the Sponsors engaged with another capable equity source. SFG of CA worked closely with the Sponsors and the new equity partner to underwrite the transaction within the limited timeframe available. Fully entitled for 14 townhomes in one of North County San Diego’s best coastal submarkets, the .783 acre site was relatively flat, one block from the ocean, enjoyed great walkability to the village…and the numbers simply worked. It was clearly a development ready to break ground in less than 60-days, and to provide a handsome profit in this cycle for the Sponsors and their equity participants. Right over the plate for SFG’s lending models, it fit perfectly given our emphasis on lending within the core coastal submarkets from our CA branch.
As is so often the case after 27 years in business, SFG’s network of contacts, clients and associates made the difference. From the first phone call with an equity provider well-known to SFG, our pre-existing lending relationship with the buyers/sponsors, our prior relationship with one of the sellers, to Graham Weiss with Chaparral Land Company and other brokerage professionals concerning submarket values, SFG knew the players. We were able to quickly engage to provide deal certainty and financial strength early on in the process. Result: Another time sensitive bridge loan closed on time, another excellent, prime development land loan in SFG’s ever growing, quality loan portfolio. And maybe a great construction loan a few months down the road…we do that rather well, too!