UP TO 95% FINANCING FOR CONSTRUCTION LOANS.

sleep-number.png

Envoy's highly leveraged construction loan program for net lease properties offers experienced developers and corporate users up to 95% LTC financing for single-tenant, build-to-suit properties.

Unlike many financing programs, including those offered by REITS, Envoy's doesn’t require the developer to sell the property immediately following construction. Instead, the developer retains control of the property simply by paying off the construction loan and paying an exit fee. For many developers, this program represents the lowest-cost option for capital when compared to third-party equity and traditional bank construction debt.

Below are brief case studies on recent Envoy-financed construction projects for Goodwill Industries and Sleep Number: 


TRANSACTIONS PREFERRED

  • Net lease, single tenant development
  • Preferred projects:
    - Credit tenants*
    - Minimum 10-year lease term
    - NNN lease structure
    - Fully entitled, shovel ready
    - Less than 12-month development period
  • Development cost per property (minimum):
    - Build to Suit: $700,000**
  • Experienced development companies:
    - Minimum 1-year track record with tenant
    - Preferred developer status

*Other non-credit tenants on a case by case basis.

DEAL STRUCTURE DETAILS

  • Up to 95% loan to project cost
    - 100% LTC available with qualified pre-sale
    - 85% LTV "as completed"
  • Loan facility:
    - Revolving line of credit
    - Open pre-payment period
  • Single asset construction loans:
    - Maximum 18-month term
    - Pre-payment locked out for 6 months
  • Pricing:
    - Prime-based interest
    - Fees: origination and exit
    - No back-end participation