ENGLEWOOD CLIFFS, N.J., May 12, 2016 /PRNewswire/ -- Kennedy Funding, well-known nationally as a high-end direct private lender, has introduced a innovative new lower-rate lending program focused on specific property types. The 6&3 Lending Program is now in place for multifamily properties, shopping centers, offices, and "other qualified properties," said Kevin Wolfer, CEO of the Englewood Cliffs, NJ-based firm.
"The 6&3 stands for a 6% interest rate plus three points, specifically targeting investments in income-producing properties across the country," said Wolfer. "Income-producing properties are an economic staple, and it is our goal to foster investment in these types of properties.
"Because of our investor relationships and resources, we are able to offer this particular loan program for the first time—it is a totally new lending program that we have never offered before," he said. "Based on those relationships, we have developed a formula for a certain type of product that will open up a whole new avenue of lending for the short-term borrower."
It is still a hard-money loan program, according to Wolfer. "If there are some credit issues and the borrower may not be able to get funding elsewhere, we are in a position to provide that funding because the borrower may qualify if they have certain types of assets," he explained.
Retail is a key sector for the 6&3 Lending Program. With the growth of Internet-based retailing, many of the country's brick-and-mortar retailers, malls and other locations that they occupy have struggled. The issue is underscored by the numerous recently-announced store closings and retail bankruptcies.
"The assets, however, are for the most part well-located and well-positioned for rebirth or repositioning," said Wolfer. "With the 6&3 program, we are prepared to provide the funding necessary to accomplish the goals of those who are purchasing and/or redeveloping these sites if certain factors are in place."
Suburban office properties provide a similar opportunity in markets where companies and their employees have gravitated to urban locations. "The trend has left many of these properties 'stranded,' and because they were constructed 30-40 years ago in many cases, they are functionally obsolete," he said. "Once again, we are prepared to take a close look at these assets as funding opportunities.
"6&3 is our all-time low rate and the program offers a high loan-to-value ratio, up to 75%," said Wolfer. "Our principals have closed more than $2.5 billion in closed bridge loans, many taking just days to complete. We anticipate a great deal of interest in this revolutionary effort, and our borrowers have already indicated that they are extremely excited to see this program."
Kennedy Funding Financial, LLC, one of the largest direct private lenders in the country, specializes in bridge loans for commercial property and land acquisition, development, workouts, bankruptcies, and foreclosures. The principals of the company have closed more than $2.5 billion in loans to date. The firm's creative financing expertise enables the closing of equity-based loans of up to a 70% loan-to-value ratio, from $1 million to more than $50 million, in as little as five days, including just two days for commitment and just days to subsequently close. Kennedy Funding Financial, LLC continues to actively seek new funding opportunities throughout the world.
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SOURCE Kennedy Funding