RFG, through its small loan program, originated acquisition financing to complete the purchase of a retail property in Raleigh, North Carolina. The principal, aware of RFG’s reputation to secure financing for extremely challenging transactions, engaged RFG to secure financing for their first commercial investment property.

The borrower had no experience, below average credit and very little net worth. However, it had a sales contract on a solid real estate property at an attractive purchase price. RFG was able to get comfortable with the deal based on the strength of the property and the borrower’s demonstrated business acumen throughout the financing process. As a result, RFG structured $960,000 senior and mezzanine financing which represented a 95 percent LTV when combined with the seller financing which occupied a third mortgage position. The senior and mezzanine financing was provided at a blended rate of 7.75 percent over a seven year term and 25 year amortization.