
Non-conduit eligible loans.
These are guidelines only; terms and structure are customized on a deal-by-deal basis.
Permanent - Long Term Fixed Rate Program
| Loan Size | $25,000,000 to $300,000,000 |
| Collateral | First mortgage on Fee or Leasehold Interest. Properties must be constructed and cash flowing |
| Interest Rate | Fixed or Floating |
| Term | Generally 3 to 10 years |
| Amortization | 25 to 30 year amortization |
| Minimum Debt Service Coverage | 1.10x |
| Minimum Debt Yield (UNCF) | 10% to 13% on stabilized UNCF depending on the market |
| Loan to Value | Up to 75% LTV (80% with mezzanine debt originated by Starwood) |
| Recourse | None, except for standard carve-outs |
| Prepayment | Defeasance or Yield Maintenance |
| Assumability | Generally assumable for 1% fee |
| Escrows | Generally monthly escrows required for real estate taxes and insurance |
| FF&E Reserve | Generally the greater of 5% of Total Income or engineer's recommendation; Near term PIPs also generally escrowed |
Bridge Loan Program
| Loan Size | $25,000,000 to $300,000,000 |
| Collateral | First mortgage on Fee or Leasehold Interest. Properties must be constructed and cash flowing |
| Interest Rate | Fixed Rate or Floating |
| Origination Fees | Generally 1% |
| Exit Fee | Generally 1% |
| Term | 3 to 5 years (longer terms available) |
| Amortization | Generally interest only with 25 - 30 year amortization in certain circumstances |
| Minimum Debt Service Coverage | 1.10x (lower DSCR considered with adequate interest reserves at 1.20x) |
| Min Debt Yield (UNCF) | 10.0% to 13.0% on stabilized UNCF (lower debt yields considered for prime markets or trophy assets); 8%-9% on As Is UNCF (Lower debt yields considered depending on mertis of the property, market, franchise, operator and stabilizaton risk) |
| Loan to Value | Up to 75% LTV (80% with mezzanine debt originated by Starwood) |
| Recourse | Determined deal by deal |
| Prepayment | Call protection for term (excluding loan extension period) with prepayment penalty negotiated on a deal by deal basis to greater of 1% or spread maintenance |
| Assumability | Loans are generally not assumable |
| Escrows | Generally monthly escrows required for real estate taxes and insurance |
| FF&E & Capital Improvement Reserve | Generally the greater of 5% of Total Income or engineer's recommendation; Any cost for renovation / PIP also escrowed |
| Interest Rate Caps | Generally required for the initial term of the loan |