Cash-Out Refinance

This $595,000 cash-out refinance of a warehouse in Sacramento, CA, recently closed. The collateral consists of 5,310 sq. ft. of light industrial space, divided into 14 units, and is sited on 0.18 acres. The property is well located within an industrial park, which is part of a larger planned urban development (PUD). While occupancy is unique, each tenant leases a single office and a portion of the warehouse space, Stronghill was able to approve the loan by validating that market rents aligned with those in place. One of the sponsors acted as the loan broker, facilitating the buy-out of family members. Because the borrower had owned the subject since 2017, as well as additional light industrial properties, Stronghill offered long-term fixed-rate financing, at attractive pricing, while also providing the cash-out needed for the borrower to accomplish their objectives.