Kennedy Funding Closes $5.1 Million Loan on 437-Acre Winery in 8 Days During Holiday Rush
The loan was the third that Kennedy Funding closed Christmas week
CHESAPEAKE CITY, Md., Jan. 23, 2024 /PRNewswire/ -- Current challenges in the lending market make closing a deal more difficult than typically expected. But for the industry-leading direct private lender Kennedy Funding, December 2023 brought several successful closings, including a $5.1 million loan for the acquisition of a 2.5-story, 12,750-square-foot single-family home. The property is part of a 437-acre winery in Chesapeake City, Maryland.
Notably, Kennedy Funding closed the loan in eight business days, when traditional lending can take weeks or months to close. The loan commitment was executed on December 14, 2023, and closed on December 27, 2023, in the midst of the peak holiday season, a period when obtaining real estate financing typically takes longer, especially from traditional funding sources.
This was the third loan Kennedy Funding closed in the last week of December.
"You need to anticipate challenges and delays during the holiday season, and you need to know how to navigate them while still meeting the borrower's needs in a timely fashion," said Kevin Wolfer, President/CEO of Kennedy Funding. "At Kennedy Funding, we have the experience and know-how to assess potential deals on next-to- impossible timelines and get funding in the hands of borrowers at any time of the year."
The borrower, AE Bohemia Manor Farm, LLC, will use the proceeds toward its $8.9 million purchase of the property. AE Bohemia Manor Farm intends to maintain the current operations of Chateau Bu-De Winery & Vineyard, along with its five catering establishments and bed-and-breakfast, in collaboration with VIVÂMEE Hospitality, which manages three other luxury resorts.
The winery includes a 15,000-square-foot building with a tasting room, a ballroom, entertainment spaces, and a full catering kitchen with food served on-site. Chateau Bu-De Winery & Vineyard hosts 30,000 visitors per year, with just under 60,000 vines of Pinot Noir, Chardonnay, and other widely sought-after wines. Weddings and events at the winery are booked well into 2024.
Wolfer said that Kennedy Funding evaluates its lending prospects largely on their value to the surrounding community, and the winery's popularity was a clear sign of that value.
"Direct private lenders like us are free to examine the merits of a deal, without being forced to tick certain boxes or meet potentially irrelevant criteria," Wolfer said. "Between Chateau Bu-De Winery & Vineyard's gorgeous waterfront scenery, stunning bed-and-breakfast space, state-of-the-art vineyard, catering, and event spaces, we were fully confident that the borrower's purchase would elevate the Chesapeake City community."
Located under two miles from the Maryland-Delaware border; half an hour southwest of Wilmington, Delaware; and an hour northeast of Baltimore, Chesapeake City is a quaint town of 736 people according to the 2020 census. The town's founder, Augustine Herman, was the first lord of the manor on which Chateau Bu-De Winery & Vineyard is situated.
"Between Chesapeake City's geographical proximity to major cities and Chateau Bu-De Winery & Vineyard's historic ties to its hometown, it's clear to see that this site will continue to be a destination for wine lovers, events, and weddings," Wolfer said. "We are proud to have closed this loan, especially during the holiday when it can be harder to get deals done. Our ongoing mission is to continue to support our clients who aspire toward a prosperous future with their real estate ventures.
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About Kennedy Funding
Kennedy Funding is a global direct private lender specializing in bridge loans for commercial property and land acquisition, development, workouts, bankruptcies, and foreclosures. Kennedy Funding has closed more than $4 billion in loans to date. Their creative financing expertise provides funding of up to 75% loan-to-value, from $1 million ($3 million international) to more than $50 million, in as little as five days. The company has closed loans throughout the United States, the Caribbean, Europe, Canada, and Central and South America.
SOURCE Kennedy Funding
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