Sky Equity has a broad range of loan programs covering a wide variety of assets across America. These programs fall into two categories; short-term interest only bridge loans and long-term permanent financing.
Bridge loans will include such programs for fix & flips, ground up new construction, commercial real estate acquisition and more. Term loans are designed for holding rental assets and are available for traditional market rental properties or those being utilized as short-term vacation rentals. Click the appropriate link below for your goals.
We lend only in the first lien position.
All loans are for Non-Owner Occupied purposes only and are originated as business purpose loans to a LLC.
Loans include an origination fee typically ranging from 1% to 3% of the total loan amount with 2% being the average.
Most loans are structured with full recourse.
A borrower must have relevant experience, net worth and liquidity to secure preferred rates
All bridge loans require a viable exit strategy.
Bridge loans are originated for 12 months with minimal payments of 3 or 6 month, and extension options of 6 months for a fee of 1 point. New Construction Bridge Loans can be originated for 24 months.
Mixed-Use Term Loans require a 51% residential footprint by square foot, while Bridge Loans can have a larger commercial footprint.
Mixed Use is considered Commercial for purposes of due diligence (such as appraisal, environmental, and municipal use).
Liquidity and Experience are key factors in pricing all loans, and even more so for consideration of New Construction. Experiences are evaluated as like transactions in the past 36 months; transactions where the borrower was the personal guarantor on the transaction. Number of Experiences being, 0, 1-3, 4-9, 10+ create incremental price adjustments.
Depending upon the nature of the loan request and the financial strength of the Sponsor/Borrower, we may structure the loan with an Interest Reserve or Payment Reserve to cover part of the monthly payments.
Participation in The Sky Equity Capital Fund I is available for “Accredited Investors” only.