Single Tenant Property Program

For general and specific inquiries, complete our On-Line Form

Property Type:	Class "A", "B", and "C" suburban and central business district single tenant properties that have good locations and are occupied by stock exchange listed public companies. Investment Grade (Standard & Poors Rated "BBB" or better) and Non-Investment Grade tenants with good financial strength and potential are acceptable.
Loan Security:	First fee mortgages encumbering completed projects along with customary assignments and pledges.
Loan Amount:	$500,000 to $5,000,000 per property. Loans of $5,000,000 to $20,000,000 available case-by-case.
Term:	Primary Base Term of the Lease.
Amortization:	Primary Base Term of the Lease plus five (5) years.
Maximum LTV:	Up to 100%.
Minimum DSCR:	1.00:1 – 1.15:1 Varies based on the tenant’s Investment Grade Rating.
Recourse:	Non-Recourse except for standard lender carve-outs.
Assumption:	Permitted with the payment of an Assumption Fee, typically 1% plus costs and legal expenses with lenders approval.
Borrowing Entity:	Single Asset/single purpose structure that is Bankruptcy Remote.
Documentation:	Standard note and mortgage affidavits, and ancillary documents.
Rent Roll:	Lease Document.
Replacement Reserves:	Typically, minimum of $0.10 to $0.25 per square foot annually, or as scheduled in the Property Condition Assessment Report. Monthly escrow is required, unless specifically covered in the Lease as the responsibility of the tenant.
Tax & Insurance:	Monthly escrow is required, unless specifically covered in the Lease as the responsibility of the tenant.
Vacancy:	Dependant upon the Investment Grade Rating, or financial strength of the tenant. Typically, an economic minimum of 5%.
Operating Statements:	Required in the event the Lease is a Gross Lease where expenses are the responsibility of the landlord.
Survey:	ALTA standard required and ordered by lender by an approved surveyor.
Title Insurance:	ALTA standard with applicable riders.
Subordinate Financing:	Typically, not permitted. Lender will consider prior approval with full subordination non-foreclosable cash flow only.
Prepayment Penalty:	Typically, lock-out for the first one-half of the loan term, followed by full yield maintenance to term. No penalty if prepaid during the final 6 months of term.
Application Fee:	Required per specific transaction.
Origination Fee:	To be determined per the specific transaction.
Commitment Fee:	Two percent (2%) of the loan amount, or $25,000, whichever is greater, is due and payable upon the lender's issuance of the Loan Commitment and the Borrower's acceptance. Such loan commitment fee shall be held in Lender's Escrow Account and is refundable less third party expenses for the property inspection, the MAI appraisal, the Property Condition Assessment Report, and Environmental Site Assessment Phase I, underwriting and processing costs, legal fees, and other costs customary to the loan transaction. The remaining balance shall be credited or refunded at the loan closing.
Third Party Reports:	Includes Inspection, Environmental Site Assessment Phase I, Property Condition, and Appraisal. All Reports are ordered, controlled, and completed through consultants pre-approved and authorized by the lender. Costs are, typically, in the $10,000 range, dependent upon the location and complexity of the property.
Legal:	Typically range $5,000 to $10,000 dependent upon the complexity of the borrowing entity and property.
Interest Rates:	Rates are specifically quoted based upon the Investment Grade Rating, or financial strength and potential of the tenant. Rate Buy-Downs are available.

ALL terms are subject to change.

Documentation Requirements

Brief Description of the Mortgaged Property, including square footage, year built, and/or renovated, description of construction details, HVAC, and paving information, including total number of parking spaces and handicap spaces.
Brief description of the Borrower, Key Principal, and Property Manager including real estate experience and financial capacity, including the most recent financial statements and three (3) years income tax returns on Borrower and Key Principal.
Current Tri-Merge Credit Reports on Borrower and Key Principal.
Neighborhood map indicating location of the Mortgage Property and competitive properties.
Copy of site plan, building layout, and floor plans.
Set of color photographs (including aerial photograph, if available) of the Mortgaged Property, surrounding area, building interior and exterior, and parking areas.
Property Operating Statements and Occupancy for the past two (2) calendar years and current year-to-date actual and remainder of the year budget.

Copy of the Current Lease Document (or other evidence of leasing status):

* Tenant name

* Square footage of leased space

* Current Annual base rental rate (with break-out of amortized tenant finish)

* Expense Payment provisions (pass thru or stop)

* Stated options or fixed renewals

* Estimated current market rental rate of the space

* Current Status of concessions (build-out, free rent, etc.)

* Lease commencement and expiration date

* Current Sales per square foot

Schedule of all significant capital expenditures including costs (i) incurred during the past three (3) years, and (ii) budgeted for the next twelve (12) months for the Subject Property.

Information on comparative properties including size (square footage), year built, distance from subject, rental rates, and occupancy rates. Demographic and market information on the subject’s competitive market area.
Copies of most recent appraisal, engineering and environmental reports (Do not order new reports.)
Statement of how the loan proceeds will be used. (Cash Out must be explained and detailed.)
Information on current debt, lender, officer, address, telephone, fax, email, original amount, interest rate, current balance, terms, maturity, P&I, Tax & Insurance Escrows, next payment date, and payment history.
Date acquired (if refinancing), original purchase price, and capital improvement costs since acquisition.

Great Eastern Investments, L.L.C.
Tel: 800-366-7769 Fax: 830-796-4774
loan.inquiries@Great-Eastern.com

Documentation Requirements

Copyright © 1997-2005 Great Eastern Investments