The property is acquired without debt, featuring a 0% LTV and $0 loan balance. This unleveraged structure eliminates lender covenants and refinancing risks.
Leverage profile
All-cash offering — no mortgage debt, so there is no leverage to chart.
Loan Amount
$0
Term
12 months after the initial sale of an Interest in this Offering; however, we may extend this Offering for two additional six-month periods
Interest Rate
—
Fixed / Variable
Fixed
Prepayment Penalty
—
DSCR
3x
Acquisition LTV
—
Offering LTV
0%
Strengths
- 0% LTV eliminates debt service pressure
- No refinancing or interest rate reset risk
Concerns
- Lack of positive leverage to enhance total returns
- Total capital must be sourced entirely from equity investors