Beverly Grove Multifamily Refinance
StackSource recently closed a cash-out refinance for a 6-unit multifamily property in the Beverly Grove neighborhood in Los Angeles, CA. A major challenge to this deal was that two of the six units were rented by the property owners, reducing the actual net operating income. StackSource was able to source a lender that could use market rents and underwrite to a breakeven 1.00x DSCR. The lender was able to provide a self-liquidating 30 year term, fixed for the first five years and then adjusting semi-annually to 6-month LIBOR + 3.75%. The loan begins with a two year interest-only period.