Raw Land Loan Closes in Just Two Week

Hackensack, NJ, June 08, 2006 – 403 acres is a significant parcel of raw land. And that’s exactly what Richard DeVincentis and Larry Higgins of Porter Mill Road Properties, LLC were eyeing in Hebron, Wicomico County, Maryland. They envisioned getting it approved for a mixed use community, and selling off pads to developers/builders. It was estimated that the project would have as many as 2,400 residential units, offices and apartments, twin and single-family homes, estate homes, a school, condominiums, age-restricted villas, medical offices, assisted living, senior apartments, and commercial areas.

To complete the transaction, Porter Mill Road Properties needed a loan,
and planned to use the raw land as collateral. However, as the purchase date drew nearer, the bank began pulling back, citing restrictions and red tape that purportedly made the deal untenable. So Porter Mill Road was in the uncomfortable position of needing a loan predicated on raw land, and needing it very quickly.

That’s where Kennedy Funding came in.

Kennedy Funding, a direct private lender in Hackensack, New Jersey, saw little problem in using raw land as collateral. “We’re somewhat unusual, in that we actually thrive on raw land deals,” said Jeffrey Wolfer, Kennedy co-CEO. “And savvy business people know to look for alternative money sources like us. Porter Mill Road Properties was a good business transaction for both of us, especially with the borrowers bringing $6 million to the table. We closed the Porter Mill Road Properties deal in just two weeks, and that was with Memorial Day thrown in. A bank loan would’ve taken weeks or even months.”

The $7.8 million loan was brokered by Weichert Commercial Brokerage,
a leading mortgage brokerage firm. Ed Laurite, the Weichert broker, said,
“I appreciate all the positive help Kennedy Funding gave to get this transaction to the closing table and funded. I am certain we will have additional business together in the future.”

The future looks bright for Porter Mill Road Properties. The real estate market in Wicomico County and the neighboring part of Sussex County in Delaware has not experienced the slowdown that other parts of the country have been experiencing, including the nearby shore points. Construction is continuing
at a healthy pace, with the bulk of sales for new homes in the $300,000 to $400,000 range, with townhomes selling for slightly less.

Added Richard DeVincentis, “Kennedy and Weichert were great, and please know we will recommend both of your firms, as you did what you promised. That is the greatest compliment I think we can give.”

Kennedy Funding can issue loan commitments in as little as 24 hours, which often leads to closings in as little as five days and, in some cases when time is of the essence, even faster. Available financing ranges from $1 million to over $100 million, with rates as low as 10% and 3 points. The staff at Kennedy Funding is skilled in a wide range of business sectors beyond financing, and they focus a great deal of collective expertise and dedication upon each loan application.

While Kennedy specializes in commercial real estate bridge loans, their flexibility and diversity has also resulted in loans for a wide range of enterprises, including amusement parks, high-profile golf courses, TV and radio stations, airlines, and sports complexes. Across the country and around the world, Kennedy has produced funds for conventional and unconventional projects, often succeeding when other financial institutions cannot. They can fund up to 65% loan-to-value for commercial land development, acquisitions, workouts, refinancing, bankruptcies, and foreclosures.