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1309 Garden St.

Project Info

Project Description

1309 Garden St. Austin, TX 78702

Occasionally, many Noble Capital lenders will come together and collectively fund a large deal. In the case of 1309 Garden a deal that consisted of 7 units just blocks away from the beloved Rainey Street in Austin, over 12 investors lent their dollars towards this deal. This deal required over $1.8MM of funding, which many investors would not have immediate access to. By sharing the funding of this loan, the investors in this deal were able to make smaller principal investments, allowing them to also diversify their capital into multiple loans.

Oftentimes investors and lenders alike are also asking, “Why do Streamline Funding clients choose hard money lending over a traditional lending platform?” In this case, it was simple. The Borrower was looking to capitalize on this opportunity quickly, given its ideal location and opportunity for a large ROI. He knew Streamline Funding was focused on closing and completing their due diligence in a timely manner, allowing him to secure the deal and immediately begin the transformation of these units.

Economics

  • Investor

Investment: $1,890,000

Total Return: $2,043,000

Total Profit: $153,000 ($12,750/Month)

ROI Percentage: 8.1%

  • Borrower

Total Investor Investment: $1,890,000

Total Borrower Investment: $302,000

($66,000 Down Payment, $206,000 Interest Payments)

Total Funding: $2,492,000

Gross Projected Resale Value: $3,150,000 (7 units at $450,000/each)

Real Estate Commission & Closing Fees: ($225,000)

Net Resale Value: $2,925,000

Net Profits: $1,035,000

Net Net Profit: $733,000

ROI Percentage: 242%