How Borrowers Can Help Themselves in this Volatile Market

In today's loan application process, a borrower can be their own worst enemy when sourcing a new debt relationship. More than ever before, lenders are requesting increased information and documentation prior to the issuance of quotes or term sheets. Lenders expect, and likely will require, that borrowers provide full packages before they as a lender can determine the business deal of the loan. While this may appear to be heavy-handed on the part of the lender, borrowers are advised not to take it to heart: it is merely a sign of today's economic and cautious times as additional scrutiny has been cast upon all lenders from auditors and regulators.

The most prudent approach for a borrower is to simply provide the lender with the requested materials in order to complete the package. During the loan processing phase, there are few things over which the borrower can claim control. The borrower's individual information, as well as all information pertaining to the property, are clearly two criteria whereby the borrower can assume control and responsibility in a timely manner. When confronted by a lender with continual requests for additional information, borrowers are advised to comply promptly and with a smile. We will keep you posted…

Loan Quote for Northern California Parking Garage

Penstar recently received a loan quote for a Northern California parking structure. The property, previously used as private employee parking, will be transitioned to public parking following the acquisition. The lender offered an acquisition & bridge loan as follows: a loan term of 3 years, a 25-year amortization, recourse, floating rate based on Prime with a 6% floor, and a 1% lender fee. The lender is seeking to foster a banking relationship with the transaction. Fixed rate terms may also be available. To discuss, please contact Gerald Price at (818) 883-9629 or price@PenstarAdvisors.com.

Penstar has identified an insurance company lender actively closing loans on industrial, office, multi-family, and anchored retail properties located nationwide. They are one of few lenders in the market who will allow cash out for refinances. They have 7 and 10-year money priced at a fixed rate of 7% and 7.2%, respectively; and with a 30-year amortization. To discuss, please contact Steven Hamermesh at (818) 883-9609 or Hamer@PenstarAdvisors.com.

30 Day Libor	10-Year Treasury	Prime
0.45%	2.90%	3.25%

Penstar Realty Advisors can be reached at (818) 883-8600 or at our offices located at:
21700 Oxnard Street, Suite 1870, Woodland Hills, CA 91367