July 2017 - In This Issue:
GOOD PEOPLE. OUTSTANDING RESULTS.
A wise man and one of my mentors once told me, "People like doing business with people they like." That is something I've held on to for a very long time and it is something we instill in our culture at Love Funding. We provide outstanding results for each of our customers by empowering our team to think outside the box and go the extra mile to do what's right. That's our culture.
 
Our culture begins and ends with our people. Hiring the right team at Love Funding is the most important thing we do. As a customer of ours, I hope you would agree that our folks are at the top of their game when it comes to structuring, processing, underwriting, closing and managing your HUD loans. Our originators are the most experienced professionals in this business - many have been with Love Funding 10+ years. The same holds true for the dedicated back office who have grown up in the company and learned to do business the "Love Way." We also continue to recruit experienced and talented people who fit our culture and bring new ideas and fresh thinking. Team building is critical to our culture, and when you engage us, you engage a team that works well together and genuinely enjoys what they do.
 
Love Funding is fun place to work because we are one team striving toward the same goal - to make your finance experience the best. We work hard to gain your trust, and every loan closing is a success we celebrate - we don't take it for granted.  Your success is our success. Good people create a strong culture, which produces outstanding results for our customers.
 
On behalf of all the good people at Love Funding, we thank you for your business.

Best,
Mark Dellonte
President and CEO, Love Funding
Advantages of HUD for Market-Rate Multifamily Construction
Competitive Loan Terms for Construction Financing

A common misconception with the HUD multifamily insurance programs is that they are used solely for affordable and subsidized housing. While the creation and preservation of affordable housing is part of HUD's mission, HUD provides mortgage insurance for market-rate projects throughout the country.
 
Let's take a look at the key points of the HUD market rate new construction and substantial rehab program, especially given the current lending environment where we are seeing banks pull back on construction lending due to concentration limits.
  • One loan for construction period and permanent term
  • Low, fixed interest rate locked in at Firm Commitment for construction period and 40-year fully amortizing term
  • Non-recourse
  • LTC up to 85% for market-rate
  • Fully assumable for qualified borrowers
  • Flexible prepayment structure
In fact, Love Funding recently closed a $10.8 million loan for the construction and permanent financing of Lofts by the Lake at Apalache Mill, a proposed market-rate apartment community in Greer, South Carolina. Financing was secured through HUD's 221(d)(4) loan insurance program, which provided the development team with low-rate, non-recourse financing for the duration of construction and for a subsequent 40-year term. The transaction also made use of federal and state historic tax credits, and state textile mill credits. Since the majority of the tax credits aren't available until final completion, Love Funding also helped arrange a bridge loan for the borrower through Love Funding's parent company, Midland States Bank.

We also recently closed an $87.3 million FHA loan to finance a new high-rise, market-rate apartment building in Plano, Texas. The project, named LVL 29 for its 29 levels, features a unique ellipses-shaped design and offers luxury apartment homes that range from 600-square-foot units to 3,800-square-foot penthouses with private garages. The building is expected to be completed in May 2019.
 
Contact us to learn more about the many benefits of HUD's 221(d)(4) new construction and substantial rehabilitation program. 
"It gives me great pleasure to be able to design and renovate this 180-year-old site, hopefully adding another 100 years to its life. The underwriting process was complicated throughout and the transaction may never have been completed without the guidance of the team at Love Funding."

-Borrower, Lofts by the Lake

Q2 2017 Healthcare Financials
Quarterly Reporting Requirement

On a quarterly basis, certified financial statements must be prepared by the CFO of healthcare facilities financed under Section 232 and submitted via email to Love Funding.  Cumulative financial reports through Q2 2017 are due to HUD and Love Funding on  August 29, 2017 .

Questions? Contact   Tina Pelton at (202) 591-3682

RECENT LOAN CLOSINGS

LVL 29
$87,300,000  Construction
Plano, TX
Bay Hill II Apartments
$5,200,000 Refinance
Traverse City, MI
Valencia Lofts
$18,497,500 Construction
San Antonio, TX
Encore Townhomes
$22,464,300 Construction
Utica, MI

Love Funding
844.344.LOVE
info@lovefunding.com
Call us today!