Summary

Conventional loans facilitated through Cornerstone Capital Lending can be used for the purchase or refinance of Owner Occupied Commercial Real Estate. Projects are secured by a 1st Deed of Trust/Mortgage on commercial real estate having a maximum Loan to Value of 85%, depending on property type and overall strength of the deal.

Typical Project Structure

• 75% to 85% LTV
• 15% to 25% Applicant Equity

Maturity and Amortization

• Real Estate – Up to 25 years

Eligible Property Types

• Multi-use owner occupied properties are preferred.
• Office: Professional, Condominium, Medical, Dental, and Veterinarian.
• Industrial: Heavy and Light Manufacturing, Warehouse and R&D Flex
• Retail: General
• Special Use: Assisted Living Facilities, Adult Care, Day Care Facilities, Funeral Homes, Select Quick Service Restaurants.

Rate Option / Prepayment Penalties

• Variable rate options based on WSJ prime rate adjusted quarterly as well as 90-day and 1-year Libor indexes.
• Fixed rate options based on 3, 5, 7, 10, 15 or 25 year fixed Rates.
• A minimum 5 year declining prepayment penalty (5/4/3/2/1%) is required.

Underwriting Requirements

• Prior ownership and management experience required.
• Minimum FICO of 680
• All loans are Full Recourse and require the personal guarantee of any and all individuals or entities holding 20% ownership interest or more.
• Owner occupied: 1.25x Minimum Debt Coverage Ratio (DCR).
• Income Properties: Minimum DCR of 1.40x.

Occupancy

Owner occupied 51% of the property, 35% may be allowed case by case.