An experienced real estate investor needed a lender to purchase five detached residential cottages in poor condition and subsequently accommodate the borrower with additional funds to remodel the improvements and construct an additional ADU for a total of six units.
In July 2021, Fidelis Private Fund provided an existing client with the acquisition loan of $675,000 (49% LTV) to purchase five detached, single-family residences bungalows in need of remodeling on one parcel in the South Park Community of San Diego. The purpose of the loan was to acquire the property and allow time to obtain permits to do a complete remodel and add one ADU for a total of six units.
Fidelis Private Fund provided the borrower a $1,900,000 1st Trust Deed refinance/rehab construction loan to pay off the existing Fidelis $675,000 loan and provide funds to complete the remodel and construction of the ADU. The market value at stabilized occupancy is $3,200,000 or 60% LTV ratio.
The Fidelis Private Fund helped the borrower capitalize on a great investment opportunity. At the same time, making it a smooth and hassle-free loan process.