No matter what your investing situation, the experienced professionals at A10 Capital can help you with your middle-market commercial real estate and single-family rental financing needs. Find out more about the following common investing situations.
- Auction Purchase
Online auction marketplaces (e.g. Ten-X, RCM1.com) have emerged as efficient platforms for buying and selling commercial real estate properties quickly, many of which are distressed. A10 Capital has an innovative auction finance team that works closely with auction platforms, brokers, buyers, and sellers to prequalify financing for un-stabilized auction properties before they are available for sale. Auction bidders are able to secure non-recourse financing simultaneously with the auction close, eliminating the need to draw down on expensive equity for all-cash closes. Our track record in auction financing is unparalleled.
- Innovative auction finance team
- Outstanding track record
- Pre-qualified financing for quick close auction purchases
- REO (Real Estate Owned) Acquisition
We can provide funding for REO acquisitions — which many regulated banks and lenders can not — because of our expertise in financing un-stabilized and distressed properties.
REO properties can have a negative stigma because often they are in some state of disrepair and financial distress. Many lenders may not be equipped for, nor interested in, financing such properties. Funding from A10 Capital can help experienced value-added real estate investors successfully re-position and re-tenant REO properties.
- Equipped and ready to provide funding for REO acquisitions
- Most active lender for un-stabilized and distressed middle-market properties
- Traditional Brokered Acquisition
In today’s market, many sellers require significant non-refundable deposits and tight closing timelines.
But even the largest and most respected commercial real estate investors have the confidence to aggressively pursue acquisitions and “go hard” knowing A10 Capital will be there for them at the closing table. They trust A10 Capital because of our singular focus on middle-market properties, our nationwide footprint, and our team of highly experienced commercial real estate professionals.
The majority of our loans fund purchases on tight timelines, and we’ve made a significant investment in our infrastructure so our credit team gets involved early in the process — even before issuing a term sheet — to pre-underwrite each loan. Most lenders involve their credit team only at the very end of the process, often leading to last-minute surprises and re-trades.
- Trusted by institutional real estate investors
- Nationwide footprint
- Highly experienced commercial real estate team
- Credit team involved up-front
- No last-minute surprises or re-trades
- Portfolio Acquisition
A10 Capital is a nimble specialty finance lender unencumbered by banking regulations, legal lending limits, or geographical footprint. We have a strong track record of providing financing to multi-billion dollar institutional investors for large property portfolios spread across multiple geographic locations.
Most Wall Street firms will not underwrite smaller individual properties within a larger portfolio, leading to less flexible financing structures. A10 Capital targets small- to middle-market properties, so our portfolio financing is more flexible and enhances IRRs with structures to facilitate property dispositions one at a time when market conditions are optimal.
A10 Capital’s term financing eliminates commercial real estate private equity funds’ need for risky, short-term lines of credit (repos, fund lines, etc.).
- Flexible structures to enhance IRRs
- No legal lending limits
- No geographical constraints
- Match-funded, term financing
Many CRE investors often close on opportunistic purchases with all cash, or have a desire to initially put their committed equity capital to work. Once the dust has settled, many turn to A10 Capital to back-leverage the property to optimize returns and free up equity capital for other opportunities.
We aren’t subject to bank regulations, so a recapitalization with us is not clouded by the cash-out aspect of the loan.
- Not clouded by the cash-out aspect
- Free up equity for other opportunities
- Increase returns by back-leveraging an all-cash purchase
- Distressed Debt Purchase
Every year, billions of dollars of distressed debt secured by commercial real estate is acquired at a significant discount by savvy investors who then gain control of properties backing these non-performing loans (NPLs).
While this marketplace is vast, very few lenders are willing to make “loan-on-loans” because they are not secured by a direct first mortgage. Sophisticated investors turn to A10 Capital for Note Purchase Loans because we are one of the only lenders with the expertise to underwrite the complexities of distressed debt situations.
Importantly, we are able to finance one-off note acquisitions, not just large pools.
- Capability and expertise to fund distressed debt purchases
- Financing for one-off note acquisitions
- Discounted Payoff (DPO)
We aren’t influenced by the supposed stigma of financing another lender’s loss. Our team can prequalify your financing to give you an advantage in DPO negotiations. We know that closing a DPO takes a significant amount of capital, and we can structure “stretch” LTVs to minimize the amount of fresh equity required.
- No stigma of financing another lender’s loss in a DPO
- Pre-qualified financing gives you an advantage in DPO negotiations
- Stretch LTVs to lessen required equity
- Maturing Loan Refinance
Whether your property is in transition and in need of bridge financing, or fully stabilized and ready for a perm loan, we have the capability to refinance the full property life cycle.
Our dynamic and seasoned team is armed with a broad menu of products that enables A10 to stucture hundreds of customized combinations uniquely tailored to your property and business plan.
We know that current appraised values are often less than they were, and we can structure “stretch” LTVs to minimize the required equity to close a refinance.
- One-stop lender focused on the middle market
- Nationwide footprint
- Stretch LTVs to minimize equity required
- Single-Family Rental Property Portfolios
A10 Capital provides significant value for our clients investing in single-family rental (SFR) property portfolios.
As with our commercial real estate lending products, A10’s SFR loans focus solely on the middle-market, have non-recourse structures and deploy a team of highly experienced professionals dedicated to the industry.
To reduce uncertainty and the costs associated with managing individual loans on multiple properties, A10 can combine SFR loans into one loan. And, unlike other lenders in the SFR space, we keep servicing in-house for the life of the loan so our clients work with a team that understands their properties, their investment goals and their loan(s).
- Non-recourse perm loans
- In-house servicing
- No maximum lending limit
- One lender, one loan
- Affordable Single-Family Rental Portfolios
A10 Capital is an approved Seller/Servicer for Freddie Mac’s single-family rental pilot program for affordable housing.
Freddie Mac single-family rental (SFR) loans are targeted to institutional investors with a majority of workforce, rural and Section 8 housing in their portfolios. A10’s designation as a Seller/Servicer allows us to combine Freddie Mac’s lower rates and standardized procedures with our outstanding in-house servicing and SFR expertise.
The program provides borrowers with standardized options to easily obtain rates for loans with varying terms and conditions. The application process offers a lock on the rates and spreads, as well as rapid due diligence that is superior to non-Freddie Mac affiliated lenders.
A10 Capital Freddie Mac SFR loans include:
- Access to Freddie Mac's lower rates
- In-house servicing and asset-management for life of Freddie Mac loan
- Standardized processes
- Bridge Loans
Loans with 3-5 year terms and future funding facilities for un-stabilized properties or shorter term business plansLearn More
- Perm Loans
Fixed-rate, long-term loans ranging from 7-20 years for stabilized middle-market commercial propertiesLearn More
- Bridge to Perm Loans
Seamless financing for the full property life cycle – from transition through stabilizationLearn More
- Note Purchase Loans
Financing for distressed debt acquisitionsLearn More
- SFR Loans
Non-recourse loans for single-family rental portfolios consisting of 5 or more properties with no lending limits.Learn More
- Freddie Mac SFR Pilot Program
Lower cost financing options for single-family rental investors in the affordable housing space.Learn More
Why should you work with A10 Capital?
- Balance Sheet Lender
- Highly Customized Loan Structures
- 100% In-House White Glove Service
- Specialized and Middle Market Focus
- Institutional Backing
- Better than a Bank
- Responsible Lender, Not Loan to Own