DEDICATED TO YOUR SUCCESS

Sabal Capital Partners, LLC is the ONLY commercial real estate lending company with a specialized focus on Small Balance loans between $1M – $20M.

With Sabal as your lending partner, you can offer clients small balance loan options through Sabal’s comprehensive Small Balance Lending platform. Combined with Sabal’s innovative and proprietary SNAP™ platform, finding and processing the right small balance multifamily or commercial loan for you or your client can be done in as little as 30 days.

Choose from our Agency and Non-Agency programs depending on what’s right for you. Our programs currently available are:

 

Freddie Mac Small Balance Loan Program

A dedicated leader in Freddie Mac SBL, Sabal offers streamlined processing on multifamily refinance and acquisitions nationwide.

Freddie Mac Targeted Affordable Housing Express Program

The sole seller / servicer offering this program, we bring you TAHX, for smaller simpler deals up to $10M nationwide.

Fannie Mae Small Balance Loan

Fannie Mae provides sustainable financing solutions that enhance the affordability, security, and convenience of financing smaller properties.

Bridge AFR

Our lower cost solution for small balance multifamily properties that are not quite stabilized but otherwise qualify for agency financing.

S-CRE

Through our highly specialized platform, we now offer a non-recourse loan up to $20M for core commercial real estate assets and multifamily properties nationwide.

FREDDIE MAC SMALL BALANCE LOAN Program

PROGRAM HIGHLIGHTS

  • Non-Recourse
  • Highly competitive rates
  • Flexible terms and prepayment options
  • Streamlined process – faster closing times
  • Interest only available
  • Up to 80% LTV in certain areas

TOP MARKETS (MSA)

  • Boston, Chicago, Dallas, Denver, Los Angeles, Miami, Minneapolis, New York, Portland, Sacramento, San Diego, San Francisco, San Jose, Seattle and Washington D.C.
  • Standard Markets generally greater than 60,000 rental population

SMALL BALANCE LOAN PROGRAM – AT A GLANCE

LOAN AMOUNTS $1M - $6M in all markets; $1M - $7.5M in Top and Standard Markets for properties with 100 units or less
LOAN PURPOSE Acquisition or Refinance (Cash Out Available)
ELIGIBLE PROPERTIES Conventional multifamily housing with five residential units or more. Mixed use subject to limitations.
LOAN TERMS 20 Year Hybrid ARM with initial 5-, 7-, or 10 year fixed rate period
5-, 7-, or 10-year fixed-rate mortgage
INTEREST ONLY Partial interest-only available
Full-term interest-only may be available
AMORTIZATION Up to 30 years
PREPAYMENTS Declining schedules and yield maintenance available for all loan types
DEBT SERVICE COVERAGE 1.20x Top
1.25x Standard
1.30x Small
1.40x Very Small
MAXIMUM LTV 80% available in Top and Standard Markets
RECOURSE Non-recourse with standard carve-out provisions
CREDIT Minimum FICO score of 650
OCCUPANCY Minimum 90% occupancy of units for 90 days prior to underwriting

TARGETED AFFORDABLE HOUSING EXPRESS Program

PROGRAM HIGHLIGHTS

  • ARM and fixed-rate options
  • Full-Term Interest Only Available
  • Up to 80% LTV / 1.20x min DSCR in Top Markets
  • 30-year amortization
  • Declining prepayment option
  • Lower transaction costs
  • Certainty of execution

TAHX PROGRAM – AT A GLANCE

MARKETS Nationwide
MAXIMUM LOAN AMOUNT $10 million or less in all markets
LOAN PURPOSE Acquisition or Refinance
LOAN TERMS 5, 7, 10 or 15 year fixed-rate loan; 5, 7 or 10 year floating-rate loan
AMORTIZATION 30 years
INTEREST-ONLY Partial-term interest-only; full-term interest-only may be available
PREPAYMENTS Declining Schedule and Yield Maintenance for all loan types; Defeasance also available for fixed-rate loans
  • 5 year - (5,4,3,2,1)
  • 7 year - (5,5,4,4,3,2,1)
  • 10 year - (5,5,4,4,3,3,2,2,1,1)
  • 15 year - (5,5,5,4,4,4,3,3,3,2,2,2,1,1,1)
  • NET WORTH AND LIQUIDITY Net Worth: Equal to loan amount Liquidity: Equal to 9 months of principal and interest
    RECOURSE Non-recourse with standard carve-out provisions required
    ELIGIBLE TRANSACTIONS Uncapped multifamily stabilized properties with one or more to the following affordable characteristics:
  • LIHTC properties in at least year 11 of their compliance period
  • Long-term HAP Contracts
  • Regulatory Agreements that impose rent/income restrictions
  • Tax Abatements
  • Section 8 Vouchers
  • FANNIE MAE sMALL LOAN Program

    PROGRAM HIGHLIGHTS

    • Lower cost of execution
    • Competitive rates
    • Certainty and speed of execution for borrowers
    • Team with experience and scale to support this unique market
    • Single asset security allows the most flexibility in the market
    • Extensive experience serving the small loan market
    • Streamlined third-party reports

    PROGRAM HIGHLIGHTS

        • Existing, stabilized, conventional multifamily properties
        • Properties with 5 or more units
        • Loans for acquisition or refinance

    SMALL LOAN PROGRAM – AT A GLANCE

    LOAN AMOUNTS Up to $6M nationwide
    TERM 5 - 30 years
    AMORTIZATION Up to 30 years
    INTEREST RATE Fixed and variable options available
    MAXIMUM LTV 80%
    MINIMUM DSCR 1.5x
    SUPPLEMENTAL FINANCING Supplemental Mortgage Loans are available
    PREPAYMENT AVAILABILITY Flexible prepayment options available, including yield maintenance and declining prepayment premium
    RATE LOCK 30 to 180 day commitments
    ACCRUAL 30/360 and Actual/360
    RECOURSE Non-recourse execution is available with standard carve-outs for "bad acts" such as fraud and bankruptcy
    ESCROWS Replacement Reserves may be waived for certain transactions. Replacement Reserve, tax and insurance escrows are typically required for higher leverage transactions
    THIRD-PARTY REPORTS Streamlined inspection and Environmental Screening using the ASTM E-1528-14 protocol
    ASSUMPTION Non-recourse loans are typically assumable, subject to review and approval of the new borrrower's financial capacity and experience

    BRIDGE AFR Program

    PROGRAM HIGHLIGHTS

    Finally, a bridge program designed specifically for small balance properties.

        • Fast and streamlined closings
        • Highly efficient and low cost to roll into permanent loan
        • Non-recourse
        • Competitive rate and terms

    INFORMATION NEEDED TO EVALUATE A BRIDGE AFR DEAL:

        • Current rent roll with both In-Place Rents and Market Rents, ideally supported with rent comp data
        • Estimate of Stabilized NOI
        • Estimate of Stabilized Value, ideally with support for exit cap rate, value / unit and value / sf
        • Detailed renovation budget
        • Sponsor information, ideally PFS, SREO and bio describing re-position experience

    BRIDGE AFR LOAN PROGRAM – AT A GLANCE

    LOAN AMOUNTS $2.5M - $7.5M
    MARKETS Nationwide
    LOAN TERMS Typically 15-month base term + two 3-month extensions
    LOAN PURPOSE Acquisition or Refinance
    ELIGIBLE PROPERTIES Conventional multifamily housing with five residential units or more. Mixed use subject to limitations.
    RENOVATION Periodic advances from escrow accounts to fund renovation costs
    RATE Floating, minimum of 1-month Libor + 450 bps
    MIN INTEREST CHARGE 6 months
    AMORTIZATION None, Interest Only
    ORIGINATION FEE 1%
    EXIT FEE No exit fee if property refinanced with Sabal, otherwise 2%
    EXTENSION FEE(S) 25 bps for each 3-month extension
    MINIMUM DSCR 0.85x (on In-Place NOI)
    MAXIMUM LTV 80%
    MAXIMUM LTC 80%
    RECOURSE Non-recourse with standard carve-out provisions
    SPONSOR Minimum FICO score of 650; no foreign borrowers
    NET WORTH & LIQUIDITY Net worth > 100% of estimated perm loan Liquidity > 9 months of debt service on estimated perm loan

    s-cre lOAN Program

    PROGRAM HIGHLIGHTS

        • Loan amounts up to $20M
        • Non-recourse with standard carve-out provisions

    S-CRE LOAN PROGRAM – AT A GLANCE

    ELIGIBLE PROPERTY TYPES Multifamily (5+ Units) - walk-ups permitted, Student Housing, Mixed-Use with a 35% NRSF threshold to determine if property is Multifamily or Commercial, Mobile Home Community (4 or 5 star only), Multi-Tenant Office including Medical, Multi-Tenant Retail (excludes Regional Malls), Credit Single Tenant Stand-Alone Retail, Self-Storage, Limited Service Hotels (national flag in top marketing only), Multi-Tenant Light Industrial / Warehouse / Flex / R&D

    OUR AGENCY LENDING PARTNERS

    Freddie Mac Multifamily helps ensure an ample supply of affordable rental housing by purchasing and securitizing mortgages on apartment buildings nationwide. Freddie Mac purchased more than $47 billion in multifamily mortgages in 2015, the majority of which were securitized, thus transferring the vast majority of the expected credit risk from taxpayers to private investors.

    When it comes to multifamily finance, Freddie Mac gets it done. Now offering standard loan limits of $1 million to $6 million in all markets, and up to $7.5 million in top and standard markets for certain properties.

     Choice and Flexibility – Six fixed rate and hybrid ARM loans

     Unbeatable Terms – Interest-only, coupon pricing and declining prepayments

     Ingenuity – In-market experts craft creative solutions on single and pooled loans

     Fast and Simple – Streamlined, quote to close

     Commitment to Service – A partner for the life of your loan

    Fannie Mae recognizes that owners of smaller properties have specific financing needs, and the Fannie Mae Multifamily Small Loan program has product offerings designed to meet those needs. Loans to smaller rental properties play a unique role in the rental housing market: the properties tend to be more affordable, and concentrated in urban areas in close proximity to transportation and jobs making them a key source of housing for working families.

    Continuing its commitment to serve every part of the multifamily housing market through its Delegated Underwriting and Servicing model, Fannie Mae has developed and refined a specialized small loan platform dedicated to serving this niche market.

    Fannie Mae has more than 20 years of proven success serving the small loan market, and has provided more than $24 billion of liquidity to this market since 2009.