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Category: Commercial

Explore the benefits of commercial hard money loans from Rubicon Mortgage Fund, a private lender providing quick funding and flexible financial solutions for upgrades, fix-and-flip commercial properties or leveraging assets for alternative investing.
Funded Loans, Commercial, Construction Loan, Refinance, Short-Term Loan

$4,900,000 Refinance Loan in Lafayette, CA

Private Lending: Refinancing a $4.9 Million Loan for
Premium Lots in Lafayette’s Happy Valley

Private Lending Lafayette

Loan Amount: $4,900,000

Loan Term: 12 Months

LTV: Sub 40%

Loan Position: First Position Deed of Trust

In the heart of Lafayette’s prestigious Happy Valley, Rubicon Mortgage Fund has proudly closed a $4,900,000 refinance loan for a repeat borrower. This marks yet another successful loan we’ve funded for this property, reflecting our confidence in the asset and the strong relationship we’ve built with the borrower. Private lending has once again proven to be a critical enabler for real estate projects that require speed, flexibility, and a tailored approach.

The Property: Premium Lots Ready for Development

The subject property consists of several premium residential lots in Happy Valley, a highly sought-after area known for its picturesque surroundings and upscale community. This vacant land is fully prepared for future development, with all underground work already completed.

 

The Borrower: A Trusted Partner
Our borrower is a seasoned professional with a history of successful real estate ventures. As a repeat borrower, they have consistently demonstrated reliability and a clear vision for their projects. With seven previous loans funded by Rubicon on this property, we are deeply familiar with both the asset and the borrower’s strategic approach.

Why Private Lending Was the Right Fit

Private lending is uniquely positioned to serve real estate professionals who value speed, flexibility, and a collaborative approach. In this case, private lending was the ideal solution due to:

  • Familiarity with the Asset: Having funded seven prior loans on this property, Rubicon’s team had an in-depth understanding of the asset and its potential.
  • Strong Relationship: Our long-standing partnership with the borrower facilitated a seamless loan process, demonstrating the value of trust and rapport in private lending.
  • Strategic Refinancing: This refinance allowed the borrower to maintain momentum on their development plans while preparing for the next phase of the project.

The Exit Strategy
The borrower’s clear exit strategy is to selectively sell individual lots to premium homebuilders, generating sufficient proceeds to repay the loan. With the lots ready for construction and located in such a desirable area, this strategy positions both the borrower and Rubicon for success.

Happy Valley: A Jewel in Lafayette

Happy Valley is one of Lafayette’s most prestigious neighborhoods, offering a blend of natural beauty and luxurious living. Properties in this area are highly coveted, and these parcels represent an exceptional opportunity for residential development. Being based in Lafayette, Rubicon Mortgage Fund takes pride in supporting projects within our local community.

 

Conclusion
This $4.9 million refinance exemplifies the advantages of private lending for both lenders and borrowers. For the borrower, it provided the flexibility and speed needed to advance their plans for these premium lots. For Rubicon, it reinforced the strength of our relationships and our ability to deliver tailored solutions for repeat borrowers.


Private lending isn’t just about funding deals—it’s about building lasting partnerships and contributing to the success of our local communities. If you’re looking for a lender who understands your vision and can help you achieve your goals, Rubicon Mortgage Fund is here to help.

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Funded Loans, Acquisition, Commercial, Investment, Short-Term Loan

$1,800,000 Acquisition Loan in Yuba City, CA

Why Private Money Loans Are the Key
to Unlocking Multifamily Investments

private-money-loans-yuba-city-rubicon-mortgage-fund

Loan Amount: $1,800,000

Loan Term: 18 Months

LTC: 62%

Loan Position: First Position Deed of Trust

When traditional banks fall short, private money loans provide the flexibility and speed to close time-sensitive deals. A recent $1,800,000 acquisition loan facilitated by Rubicon Mortgage Fund for a 26-unit multifamily property in Yuba City, California, exemplifies the critical role private money loans play in the commercial real estate market.

The Challenge: Below-Market Rents and Bank Limitations

The borrower, an experienced real estate developer and attorney, specializes in operating multifamily units in the greater Sacramento area. Securing traditional bank financing wasn’t feasible for this property due to one key factor: the current rents were significantly below market—nearly 50% lower. Due to the current rents bank financing was not able to provide the adequate leverage needed for this transaction.

 

The Solution: Rubicon’s Flexible and Streamlined Approach
Rubicon Mortgage Fund stepped in to provide an 18-month bridge loan, allowing the borrower to execute his business plan. The borrower’s strategy includes:

  • Marking Rents to Market: As leases turn over, the borrower will implement minor renovations and adjust rents to market rates, significantly increasing the property’s income potential.
  • Streamlined Closing: Rubicon’s ability to close the loan within 30 days highlights the speed and efficiency private money loans bring to the table, especially in competitive real estate markets.

A Trusted Referral and Strong Relationships
This deal was referred to by a reputable local mortgage banking firm, with whom Rubicon Mortgage Fund has completed numerous transactions. This long-standing partnership underscores Rubicon’s commitment to building and maintaining strong relationships with industry professionals. These trusted connections enable Rubicon to consistently deliver tailored solutions that meet the unique needs of each deal.

Why Private Money Loans Are Essential

Private money loans from lenders like Rubicon Mortgage Fund are uniquely positioned to help borrowers seize investment opportunities that traditional banks cannot accommodate. Here’s why:

  1. Flexibility: Private lenders can assess a property’s potential beyond its current cash flow, focusing on the borrower’s experience and the property’s future value.
  2. Speed: With a streamlined underwriting process, private lenders can close deals in a fraction of the time it takes traditional banks.
  3. Customized Solutions: Each loan is tailored to fit the borrower’s specific needs and business plan, ensuring a seamless execution of their investment strategy.

The Exit Strategy: Returning to Traditional Financing

Once the borrower’s business plan is implemented, the exit strategy is to refinance through traditional bank financing. By increasing the property’s income through market-rate rents and minor upgrades, the borrower will position the property to meet the underwriting standards of conventional lenders, ensuring a smooth transition.

 

Conclusion

This $1,800,000 acquisition loan in Yuba City demonstrates how private money loans from Rubicon Mortgage Fund empower experienced operators to unlock the full potential of their investments. By providing fast, flexible financing solutions and leveraging strong industry relationships, Rubicon continues to support clients in achieving their real estate goals.

If you’re facing challenges with traditional financing, consider the advantages of partnering with a private money lender. Contact Rubicon Mortgage Fund today to explore how we can help you turn your vision into reality.

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Funded Loans, Commercial, Refinance, Short-Term Loan

$350,000 Refinance Loan in San Francisco, CA

Private Lender Helped Grocery Store
with Refinance Loan in San Francisco CA

San Francisco Grocery Store Rubicon Mortgage Fund Refinance

Loan Amount: $350,000

Loan Term: 12 Months

LTV: 40%

Loan Position: First Position Deed of Trust

How a Private Lender Helped Refinance a Family-Owned Grocery Store in San Francisco

Finding the right partner can make all the difference when it comes to navigating the challenges of commercial real estate financing. Recently, Rubicon Mortgage Fund stepped in as a trusted private lender to provide a $350,000 refinance loan for a long-standing grocery store located on Mission Street in San Francisco, California. This deal highlights how private lenders can offer tailored solutions when traditional banks fall short.

 

The Challenge: Traditional Financing No Longer an Option
For over 40 years, this family-owned grocery store has been a cornerstone of the Mission Street community. Surrounded by well-known establishments and benefiting from a prime location, the business has thrived for decades. However, when the time came to refinance their existing debt, the property’s asset class became an obstacle. The bank—citing a shift in their lending priorities—was unwilling to continue financing the loan. This left the family in a difficult position, as they needed a solution not only to refinance their debt but also to restructure the property’s ownership and partnership agreements.

The Solution: A Private Lender Steps In

Rubicon Mortgage Fund stepped in to provide the $350,000 refinance loan, offering the family the flexibility and speed they needed. As a private lender, Rubicon was able to look beyond the asset class—focusing instead on the property’s value, the borrower’s vision, and the grocery store’s longstanding success.

This loan allowed the family to:

  • Restructure Ownership: The refinance enabled them to streamline their partnership, removing certain stakeholders to ensure smoother operations moving forward.
  • Preserve Their Legacy: By securing private financing, the family was able to maintain ownership of their property and continue serving the community.
  • Position for the Future: With a clear exit strategy to return to bank financing in the future, the family is well-positioned to transition back to traditional lending once the restructuring is complete.

The Value of Private Lending

Private lending offers a unique advantage for situations like this. Unlike traditional banks, private lenders are not confined by rigid underwriting standards. Instead, they can focus on the bigger picture, including the borrower’s goals and the potential of the property.
In this case, Rubicon’s ability to act quickly and provide a customized solution ensured that the family’s property—and their business—remained intact. This type of flexibility is a hallmark of private lending and is why so many borrowers turn to private lenders when traditional financing options fall short.

 

Mission Street: A Prime Location
Mission Street is one of San Francisco’s most vibrant corridors, known for its diverse culture, thriving businesses, and deep-rooted community ties. The grocery store’s location surrounded by established businesses further underscores its value as an essential part of the neighborhood.

 

The Exit Strategy: Returning to Bank Financing
The borrower’s long-term plan is to return to bank financing once their partnership restructuring is complete. With the property’s prime location and the grocery store’s solid reputation, the family is confident in their ability to transition back to traditional lending, further solidifying their business’s future.

 

Conclusion
This $350,000 refinance is a testament to the crucial role private lenders play in supporting businesses and property owners when traditional financing is no longer an option. For this family-owned grocery store, Rubicon Mortgage Fund provided more than just a loan—we provided a lifeline to help them preserve their legacy, restructure their partnership, and secure their future.

 

If you’re facing challenges with traditional financing, a private lender like Rubicon Mortgage Fund can offer the flexibility and personalized solutions you need to achieve your goals.

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Funded Loans, Acquisition, Commercial, Short-Term Loan

$3,660,000 Acquisition Loan in San Francisco, CA

Exploring Private Money Lending: $3.66 Million
Acquisition Loan for SRO Hotel in San Francisco

San Francisco Commercial Lending

Loan Amount: $3,660,000

Loan Term: 12 Months

LTC: 60%

Loan Position: First Position Deed of Trust

In the bustling heart of San Francisco, just south of Market Street, an experienced operator has secured a $3,660,000 private money loan to acquire a well-maintained SRO (single-room occupancy) hotel. This recent transaction underscores the pivotal role private money lending plays in enabling real estate professionals to capitalize on opportunities that demand speed, flexibility, and tailored solutions.

 

The Property: A Versatile Investment
The acquired property is a mixed-use building that serves as a prime example of how strategic investment can maximize value. The SRO hotel features 100 rooms primarily utilized for short-term rentals, generating robust cash flow. Additionally, the ground floor boasts a retail convenience and gift store, adding a valuable revenue stream to the asset. The entire property is well-maintained, ensuring a strong foundation for future growth and profitability.

 

The Borrower: Expertise Meets Opportunity
The borrower’s track record was a key factor in securing this loan. A seasoned operator with a proven background in hospitality and property management, they bring a wealth of experience to this venture. Their business plan is poised to elevate the property’s already strong cash flow by optimizing operations and implementing revenue-enhancing strategies. This demonstrates how private money lending can empower established professionals to execute their vision swiftly and effectively.

 

Why Private Money Lending Was the Solution
Traditional lending institutions often struggle to meet the nuanced and timely needs of experienced operators looking to act quickly in competitive markets. This is where private money lending shines. For this acquisition:

  •  Speed and Certainty: The borrower required fast funding to secure this prime property. Private money lending delivered the capital promptly, ensuring the deal closed on time.
  • Tailored Approach: Unlike conventional lenders, private lenders can structure loans around the specific needs of the borrower and the asset.
  • Focus on the Opportunity: The loan was approved based on the property’s strong cash flow and the borrower’s expertise, highlighting the flexible underwriting criteria of private lenders.

A Bright Future for South of Market Street
San Francisco’s south of Market Street area continues to be a dynamic and evolving neighborhood. Investments like this not only bring financial returns but also contribute to the vibrancy of the community. With a seasoned operator at the helm, the SRO hotel is set to thrive, offering clean and comfortable accommodations while supporting local businesses through its retail presence.

 

Conclusion
Private money lending remains an indispensable tool for real estate professionals who require speed, flexibility, and a partnership-oriented approach to financing. This $3.66 million acquisition loan is a testament to how private lenders can bridge the gap between opportunity and execution, empowering experienced operators to achieve their goals and unlock the potential of unique assets.


Whether you are a seasoned investor or exploring options for your next real estate venture, private money lending can provide the customized solutions you need to succeed in today’s competitive market.

To see more funded deals, click here!

To keep up with us, click here!

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Business, Commercial

How Private Money is Reshaping Commercial Real Estate Financing

Explore how private money is transforming commercial real estate financing in our blog ‘How Private Money is Reshaping Commercial Real Estate Financing’.

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