First Trust Deed collateralized by an approximately 40,000 square foot former Loves Furniture store in Hermitage, PA (about 90 miles east of Cleveland, OH and 70 miles north of Pittsburgh, PA). Although the property is currently vacant, the borrower has a lease ready to be signed with two national retailers to occupy over 60% of the property. Once these new tenants are signed up (shortly after acquiring the property), the borrower will begin the renovation work on the property the tenant has requested. With the remaining unoccupied space, the borrower will hire a local leasing agent to get the space filled. Additionally, the borrower will get the remaining space into a position where only minimal tenant improvements will need to be completed prior to occupancy
Loan Amount: $2,600,000
Yield: 10.5% (Principal Balance ≥ $100,000); 10.0% (Principal Balance < $100,000) Interest is paid monthly in arrears with payments due on the 1st of each month with a 10- day grace period.
Term: Nine months with two optional nine-month extension periods at maturity.