Exploring Multifamily Loans with R3 Investors
At R3, we pride ourselves on not only offering premier multifamily loans but also on our in-depth understanding of the diverse landscape of loan programs available in the market. Our team of multifamily loan experts possesses comprehensive knowledge in both traditional and specialized loan offerings, ensuring that borrowers can access the most fitting financial solutions for their unique needs.
Loan Options:
R3 offers borrowers a wide spectrum of short- and long-term choices. Our experts are well-versed in government-backed loan programs such as FHA (Federal Housing Administration). These programs typically offer longer terms and high proceeds, making them an attractive option for qualified borrowers.
Specialized Loan Programs:
Recognizing the diverse financing needs within the multifamily real estate market, R3 provides specialized loan programs tailored to specific property types. Whether you’re investing in an affordable housing project or a market-rate multifamily property, our experts help guide you through the intricacies of the programs and processes. These tailored solutions consider the unique characteristics of each property type, ensuring that your financing aligns with your goals.
Guidance in Program Selection:
Choosing the right loan program is a critical step in the multifamily financing journey. Our multifamily loan experts at R3 take the time to understand your investment objectives. Factors such as terms, rates, and eligibility criteria are carefully considered, ensuring that the chosen program aligns with your financial objectives.
At R3, we not only provide multifamily loans but think of our clients as partners. We are invested in your success in the multifamily real estate market and aim to deliver a positive journey marked by informed decisions and strategic financial empowerment.
Types of Multifamily Loans
Bridge and Mezzanine Multifamily Loans
These are short-term multifamily loans, typically less than 36 months, designed to provide financing for ongoing construction projects or stabilized buildings. These loans are often used for cash-out refinance, acquisitions, and value-add transactions for multifamily properties. They are available for market-rate, affordable, and rent-assisted multifamily properties and are typically floating rate and non-recourse. The goal is to offer flexible financing solutions that can be refinanced later on, aligning with the evolving needs of the property and investor.
Ground Leases:
Ground leases are long-term agreements that allow property owners to lease land while retaining ownership of the improvements made on the property. Typically spanning several decades, these leases provide stability and predictability, enabling owners to reduce upfront equity requirements and lower their overall cost of capital. Ground leases are advantageous for various property types, allowing owners to unlock embedded value and enhance their return profiles while minimizing refinancing risks. This structure is particularly beneficial for projects throughout their life cycle, from development and construction to recapitalization and sale.
Commercial Property Assessed Clean Energy Financing (C-PACE)
C-PACE is a structure that allows multifamily owners to borrow money for energy efficiency, renewable energy, and other qualifying projects, making repayments via an assessment on their property tax bills. This type of financing is used for new ground-up construction in nearly every jurisdiction in the country. To be eligible, the project must be located in a country or municipality where C-PACE programs have been approved in a state that has passed C-PACE enabling legislation.