USDA INSURED COMMERCIAL REAL ESTATE INVESTMENT LOANS
USDA 538 multifamily
Loan amounts from $1,000,000 to $25,000,000 (will consider lower case-by-case)
Leverage up to 90% LTC
Up to 40 years fixed and fully amortizing
No limit on the principle borrowed
Interest rates are fixed throughout the tenure of he loan
Timing for execution is generally 5 months Full documentation underwriting for existing businesses with as little as 10% balance sheet equity
650+ preferred credit (lower credit may be considered on a case-by-case basis with strong compensating factors)
All USDA eligible industries and property types considered to include affordable multi-family rental housing for low-income, elderly, or disabled individuals and families in eligible rural areas.
Preferred minimum global debt-service coverage ratio (DSCR) of 1.00x to 1.15x
Eligible entities:
a. For profit organizations including LLCs
b. Non-profit organizations
c. Federally recognized tribes
d. State and local government agencies
Terms and rates vary depending on the credit, experience, and risk level.
Ethanol and bio refineries, renewable energy, and other energy projects eligible
Borrowers must have legal authority needed to construct, operate and maintain the proposed facilities and the services proposed
What you need for an Initial Quote?
Use these items to quickly find out if you qualify for your desired LTV, LTC, loan amount etc. This will only give a very broad picture but will also give a relatively fast positive/negative indication as to the feasibility of the loan in question. You will be able to upload your documents during the application process. Or you can email your supporting documents to: debora@dejozoc.om
• Trailing 12 months, month-by-month operating statements (P&L).
• Current rent roll.
• Indication that borrower net worth is greater than the loan amount and borrower liquidity is greater than 10% of the loan amount. If otherwise, a discussion would be required along with a PFS (personal financial statement)
Nationwide lending footprint with a focus on rural locations. No population minimums and most businesses located in the USDA footprint are eligible (50,000 maximum population).
Flexible underwriting guidelines for business owner-occupied and eligible investment property. Funds can be used for debt refinance, acquisition, equipment, development, and more
RESOURCES
Need more information? Visit the USDA website to learn more. Click each title that contains a link that will direct you to the agency website.
VARIOUS INDUSTRIES AND PROPERTIES
$1,000,000 Up to $25,000,000 financing sizes (Will consider lower amounts on a case-by-case)
Full documentation underwriting for existing businesses with as little as 10% balance sheet equity
650+ preferred credit (lower credit may be considered on a case-by-case basis with strong compensating factors)
All USDA eligible industries and property types considered
Startups and startups with a construction component considered (20% to 25% minimum balance sheet equity required)
Up to 30-year fully amortizing loan
High loan-to-value (LTV) financing possible with compensating factors
Preferred minimum global debt-service coverage ratio (DSCR) of 1.00x to 1.15x
Financing is available for various entity types including for-profit, non-profit, cooperatives, federally recognized tribes, public bodies, and individuals engaged or proposing to engage in a business
Lender offers flexible payment terms with rates starting in the 5% range, and various prepayment penalty options
Ethanol and bio refineries, renewable energy, and other energy projects eligible