When this borrower came to SECC he had been turned down by numerous lenders for myriad reasons: The loan request was too small, his credit scores were in the 500s, construction industry, home based business, business operation of less than one year, number of NSFs, no filed business tax return and revenue of around $100,000.

SECC is pleased to announce the closing of a cash-out refinance of a bar and restaurant located in Ohio. Prior to coming to SECC, the borrower had difficulty procuring financing due to the special-purpose nature of the property as well as its market location. SECC was able to refinance the borrower’s existing first lien and provide working capital at bankable terms. Additionally, SECC utilized an existing appraisal and environmental report, saving the borrower substantial costs and time.

SECC is pleased to announce the closing of a $25,000 working capital loan under it’s Private Business Express Program. This was an unsecured business loan provided to a motel operator located in North Carolina. SECC was able to approve the loan within 48 hours and offer an interest rate significantly less expensive than the merchant cash advances (MCAs) and credit cards many business owners use to finance their operations.

SECC provided a $160,000 private money business term loan to a technology export company based in Georgia. The borrower needed funds quickly to take advantage of an inventory acquisition opportunity and desired a reasonably priced loan with no prepayment penalty.

Many commercial originators spend an inordinate amount of time trying to pin down large real estate purchases and refinances. And that’s not surprising because commercial real estate is frequently tied into originators’ loan requests, making it easy to fall prey to this kind of tunnel vision.

SECC is pleased to announce the funding of a cash-out refinance for a preschool located in Georgia. The borrower, a seasoned investor and real estate entrepreneur, was seeking a stated loan program that would close fast and take out the high interest rate private loan he had used to acquire the property. SECC provided a 3/25 loan at 9.875%, $40K  of unrestricted cash-out and closed in 10 days!

SECC provided a $30,000 loan secured by a traditional church building located in Tennessee. The property was free and clear and SECC funded unrestricted cash-out, underwrote the loan on stated information and wrote a permanent 10 year fixed rate loan at 11.375%.

Earlier this week, niche lender South End Capital Corporation (SECC) announced an impressive $12,575,750 in total March closings, just the latest feat in the company’s trajectory toward its objective: to become a premier lender by meeting the unmet financing needs in the commercial real estate and business marketplace.

SECC provided a $300,000 private business loan unwritten strictly on the cash-flow of the borrower’s business and without requiring any underlying real estate collateral as security. The 5 year fixed rate loan which closed in under 2 weeks, provided the borrower quick cash to take advantage of timely marketing and expansion needs.

SECC provided a $100,000 working capital loan to a home decor business located in Georgia. The borrower needed a fast loan for inventory and did not qualify for bank financing. SECC underwrote a loan based on the business’s cash-flow, required no real estate collateral and provided a 14.99% rate fixed over 3 years.

SECC provided a $4,600,000 loan secured against a parcel of waterfront land located in Southern California. The loan proceeds went to refinance the borrower out of bankruptcy and provide the cash-out necessary to complete site plans needed to list and sell the property. SECC wrote an 18 month term with a full interest reserve, and a six month extension to give the borrower ample breathing room to successfully exit the loan.

SECC closed an SBA 7(a) loan secured by an unflagged resort located in Washington State. The borrowers previously had difficulty procuring bankable financing due to the special-purpose nature of the property type and their need for working capable. SECC provided a 6% rate amortized over 25 years, refinanced an existing mortgage and provided $75,000 of cash at closing.

SECC provided a $2,875,000 loan secured by an unflagged hotel located in New York. A recent bankruptcy, lack of hotel brand and exterior corridor configuration of the property type had made it nearly impossible for the borrowers to locate reasonable terms. SECC came through with a 5% rate, amortized over 25 years and also provided $300,000 at closing for renovations.

SECC funded a $150,000 cash-out refinance of a mixed-use property located in New Jersey. The unconventional configuration of the property type as well as the borrower’s desire not to provide tax returns, made this a perfect fit for SECC’s stated non-conforming program.

SECC provided a $200,000 working capital loan for a hotel located in Pennsylvania. The borrower did not have time to wait 60 to 90 days for SBA financing, so SECC delivered a quick unsecured private loan carrying no prepayment penalty and fixed for 5 years.

SECC is please to announce four recent closings totaling $2,543,730. This selection of just a few of our March closings demonstrates the diversity and flexibility of our program offerings. SECC’s breadth of programs can assist both stated income and full documentation borrowers, as well as those seeking loans without real estate or hard collateral to pledge.

SECC provided a $365,000 SBA 7(a) loan secured by a used car dealership located outside of Boston, MA. Historically car dealerships have been a difficult asset class to obtain bankable financing for. The multiple liens required to be filed to secure the real estate and inventory, as well as the volatile nature of the industry leaves most lenders on the sidelines, but not SECC.

SECC funded a $235,000 cash-out refinance of non-owner occupied residential condo located in Hawaii. The condo, held for investment purposes, and the Hawaii location left most lenders out of the running for this transaction. Add in the need for a no tax return loan at bankable rates, and the only and best option left for the borrower was SECC.

Like so many other loan programs real estate finance professionals relied on in the recent past (notably sub-prime and alt-a), “stated” income commercial real estate loans were a casualty of the 2008 mortgage meltdown. Soon afterward, mortgage brokers who had previously embraced them for their fast-and-easy closings wouldn’t even utter the term “stated,” it had become so taboo.

Brokers and lenders often look ahead at the beginning of the year and set new objectives. With spring just around the corner, it is the perfect time to review those objectives and perform some serious housecleaning. Before your New Years’ ambitions can succeed, you may need to sweep away some old habits that are holding you back.

SECC provided a $48,750 private business loan to a medical practice located in New York. The borrower needed funds fast to take advantage of a business opportunity and bank financing was out of the question. SECC had the funds in the borrower’s account in 6 days, and our referral partner earned a nice $2,000 referral fee for passing us the lead.

SECC provided a $50,000 private business loan to a healthcare company located in Illinois. The borrower needed funds quickly to consolidate debt and some higher interest rate daily ACH loans. SECC provided a quick monthly payment option loan priced at 18.49% and fixed for 3 years.

SECC funded an $81,000 rate and term refinance on a mobile home park located in North Carolina. The small loan size, property type and low town population were just a few of the reasons every lender other than SECC had passed on this loan request. For SECC it was just another opportunity to provide a good borrower a good loan.

A Washington State based healthcare company was in immediate need of capital to meet payroll obligations and couldn’t find a lender able to move quick enough to meets its needs. SECC was about to provide $115,000 in less than a week, on a fixed term loan and with zero out-of-pocket or closing costs to the borrower.

The borrowers were stuck in a high interest rate private money loan with regular demands coming from their current note holder for payoff when they came to SECC. Comfortable lending in the small loan space, SECC funded a 15 year fixed permanent loan at 11.5%, despite the borrowers 629 credit score and the property being in a town of only 4,700 people.

A seasoned property investor was finding it difficult to secure bridge financing to acquire a distressed single family residence in Cook County Illinois. Despite the borrower’s track record of rehab success, private lenders back away from this opportunity scared of the County’s declining property values. SECC provided a 70% non-recourse bridge loan at 9% interest only, and with no prepayment penalty.

Noah Grayson, managing director and founder of South End Capital Corp., wrote an excellent article for the Scotsman Guide about how the commercial real estate market is experiencing a rise in loan fraud as loan demand has started growing.

A successful Chicago based construction company hit a brick wall when looking for a revolving line of credit to finance one of its projects. SECC, not fearful of the construction industry and demonstrating its flexibility, provided a 12 month prime based revolving line of credit, with no advance cap.

With the economy improving and capital beginning to flow back into the commercial loan marketplace, unfortunately, incidences of  mortgage fraud are also rising — and at an alarming rate. Because there is no oversight organization designated to report such cases of fraud, it’s difficult to assign quantifiable statistics to the rate of occurrence in commercial lending.

Fear of the unknown is an entirely rational response. The conservative policy of “look before you leap” has always been one of the central tenets of financially responsible and stable lenders.