Find out WHAT Commercial Real Estate properties have the highest percentage of lender rejections…

  •  Single tenant restaurants unless it’s a one of two national chains…
  • Single tenant properties where the tenant is paying an extraordinarily high rent compared to the rest of the market.
  • Properties that are purchased at a cap rate well below the cap rate floor established by the lender.
  • Single tenant properties with a short term remaining on the lease (less than 10 years). You can mitigate this issue by using a short amortization period.
  • Properties located out in the middle of nowhere. They usually have to be within 40 miles of a decent sized city (doesn’t have to be a major metro area)
  • Metal Industrial buildings
  • Single tenant properties with weak tenant financials (i.e. some national “big-box” stores that continue to lose market share to their competitors…)
  • Borrowers with credit problems
  • Multi-tenant properties where the major tenants have leases expiring soon and are paying above market rent
  • Non-stabilized properties
  • Non-recourse financing for loans under $3,000,000
  • Fractured condo properties

Want to find out what lenders are looking for?  Comment here…

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About flcommercialrealestate
Mr. Arthur Diekman serves as a Commercial Real Estate Broker for Main Street & Main, and specializes in the sale, purchase and leasing of retail properties. He has experience with both national chains and independent owners in site-selection, lease negotiations, financial analysis and business strategic development. Prior to joining the EnterDine Team @ Main Street & Main, Mr. Diekman worked for a fortune 50 Company as a marketing and sales professional and led the distribution of product sales through an international network of dealers. In this capacity, Mr. Diekman gained valuable experience in establishing and executing business plans, evaluating business performance metrics and negotiating win-win solutions for his clients. Mr. Diekman also has a strong leadership background that was developed as a top performing military officer. He is a Veteran of Operation Iraqi Freedom and continues to serve in the United States Army Reserve. Mr. Diekman is a consummate professional and continues to find ways to better serve his clients. He recently earned his MBA from The University of Tampa and is currently pursuing the prestigious Certified Commercial Investment Member designation (CCIM). He is active in the commercial real estate community and is a member of the Florida Gulfcoast Commercial Association of Realtors (FGCAR).

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