Multi-Family Rehab – Adaptive Reuse
The commercial retail industry, in particular, has changed dramatically in recent years. Many prominent brick and mortar retailers have closed down hundreds of locations due to the growing dominance of online retailers.
With this change there has been a corresponding increase in people who rent or lease their primary living space, thus the demand for that type of commercial real estate has grown as well.
Savvy investors and developers are buying commercial buildings and changing their original use and adapting these buildings to meet the rental market and even condo owner-occupiers.
Short-term lending is the primary means of financing the acquisition and subsequent rehab of these projects. Once the project is complete and the units are generating income then, a long-term take-out loan is put in place.
The duel financing nature of these transactions offers two opportunities for you to earn by helping your clients.