FINANCING – ACQUISITION LOAN

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ACQUISITION LOAN 

Uses NIIF acquisition loans are for the purchase of vacant land and buildings planned for future development, preservation of affordability, or other redevelopment/reuse activities, for both residential and commercial development.
Loan amount Up to $3,000,000
Loan term Up to 36 months, may be longer for significant redevelopment programs
Interest rate and repayment

From 5.0%, subject to underwriting

Generally interest-only; an interest reserve may be required

Collateral/security First or subordinate liens on the property being acquired

Generally loan to value (LTV) ≤ 90% of “as-is” appraised value.  Non-profit sponsors may be eligible for higher LTV, subject to underwriting

Repayment source Construction or permanent financing, depending on project type and timeline
Fees

Commitment fee — $1,000

Origination fee — Up to 1.50% of loan amount

Third party legal fees and other third-party fees as incurred

All terms are estimated and subject to periodic revision, at NIIF’s sole discretion.  Inquiries or questions may be directed by email to Lori Glass, Chief Lending Officer , at Lori@Baltimoreniif.org.