Before COVID-19 access to commercial real estate financing was relatively simple. Borrowers rarely thought twice about who provided their loans, so long as the terms were favorable.
Today there’s more uncertainty in the commercial real-estate market. Many lenders are telling clients they are “waiting to see how the market will play out.” Challenged by growing defaults, lenders are focused on tightening structures across their client base.
Too often these days we hear about “relationship lenders” ghosting their clients after they call or email. We hear from borrowers that terms are being changed at the last minute. That loans are coming due without the ability to refinance. We hear from borrowers who are questioning whether they have the right financing partner.
At Piermont Bank, we understand that capital is the lifeblood of your commercial real estate business. And when opportunity knocks, especially in the competitive New York City area, you need a lender that’s prepared to act.
During these unprecedented times, Piermont has stepped up its support for enterprising commercial real-estate owners and operators looking to access $1 million to $10 million for multi-family, industrial, office, mixed-use, and condo properties. We’ve taken on appraisal assignments, honored term sheets, and delivered when other banks and hard money lenders were not able to meet their commitments.
Our support is not just in words. One borrower, with an existing portfolio of properties in Brooklyn and New Jersey, had a loan already underwritten and appraised by their bank (where they had a deep and longstanding relationship). With negotiated loan documents ready to be signed and in the borrower’s hand, the bank became skittish at the last minute and backed out of the deal. Fortunately, Piermont stepped in and took an assignment of the third parties, turning around a $3.75 million loan in days.
And that’s not all. Over the past few months, we are proud to have funded deals that include: $2.3 million for a mixed-use building in Brooklyn, with a 60-month term; $3.9 million for a sale-leaseback; and $4.5 million for a mixed-use property in the Bronx. In addition, we have closed several bridge loans including $3.2 million for a completed mixed-use construction project that needed a bridge during lease up.
Furthermore, Piermont has helped its commercial real estate clients by providing tenants with PPP loans, to help them with immediate relief. We believe that a true banking partner helps owners, developers, and those who are vital to the success of their businesses.
Since its inception in 2019, Piermont has provided a digitally enabled, high-touch alternative for enterprising borrowers who have been looking for a bank that values their relationship and stays true to its word. Often overlooked by large banks and regional lenders, these clients have been frustrated by wrong-sizing – using a bank that’s too big for their needs – and challenged by smaller banks with limited options.
At Piermont, we deliver peer banking: we meet you where you are. We provide fast answers and flexible financing solutions all within 24-hours of your online application submission. Our floating and fixed-rate commercial loans start at $500,000 and go up to $10 million. Our Value-Add Bridge loans range from $1 million to $10 million. And our lines of credit and note on note financing go up to $4 million.
During these uncertain days, you need clarity and certainty. You need a lender that’s in it for the long-haul, not just the immediate and short-term. You need solutions that are fit to your size.
If you have a great business, a promising future, but are saddled with an ill-fitting banking partner consider Piermont. We provide a tailored banking experience that blends the best of financial services with agile startups. Get a dedicated banker and answers within quickly. It’s easy. Start by submitting your deal at piermontbank.com/talk-to-us-about-your-deal.
If you’re looking for right-sized deals, why not look at a bank that’s right-sized for your business. Reach out directly with a deal or contact us at [email protected].