Super Fast Industrial Loans
Most requests for financing in the industrial property space—whether for purchase, refinance or subordinate liens require precision and speed. Borrowers in this asset class, in particular, are more demanding since clientele owning industrial type properties are highly sophisticated, demanding and successful. Owners of industrial type properties are mature investors and real estate owners. Below are some typical questions posed by our referring partners (Mostly populated by Financial Advisors):
Q: How long does a typical transaction take to close?
A: We handle each case the same. The first 2 questions we ask at our first conversation are, ‘How much do you need and when do you need it.’ Often clients say they need to close ASAP but that statement is meaningless to us since ASAP could be 48 hours which is almost always unnecessary. But what timeline is reasonable? We can and have closed in as short as 72 hours (California) and 5 days in all other states. What drives our decision to close in such short periods is the true, drop dead emergency close date, the added earnings to be made on that type of deal, and the satisfaction of meeting such large challenges.
Q: How are environmental issues handled?
A: We understand that most industrial properties need for the business operations solvents, paints, cleaners, oils and fuels. These sample substances when found on the asset site make industrial lending challenging. Debtraft navigates around these pitfalls by making an accounting for the liability and either set aside loan proceeds for remediation and correction or such remediation activities are immediately addressed. Securing a Phase I & II Environmental report will always be required, though not always to begin a transaction.
Q: What’s so special about industrial types of properties?
A: Industrial property owners are special people who we like as clients: more direct and to the point, contrarian in philosophy, and as lessors like to see things being built and created by their tenants. Same as us.
Q: Where in the nation do you participate in writing loans against industrial properties?
Q: What are the loan amounts that you extend?
A: As a private group we extend up to $5mm and as a facilitator using our banking relations up to $25mm