Since 2005, Great Oak Capital has been making private real estate loans to real estate investors and business owners. These loans take the form of a note secured by a first mortgage on commercial or investment real estate. Private loans are needed by real estate investors and property owners seeking to secure a loan primarily based on the value of the collateral (the “hard” asset) rather than other credit factors.
Through our in-house private equity fund, Great Oak Capital and affiliates have funded over 30 loan transactions.
We seek to make loans that “make sense.” We want to make sure that our loans help the borrower achieve his/her goals, and have very little risk of non-repayment. We focus on loans of $100,000 to $1 million or more in Philadelphia, Chester, Montgomery and Delaware Counties.
Buy Some Time
We were contacted by a loan broker whose client was facing a balloon loan payment. All the borrower needed was a few month’s breathing room to find the right permanent lender. Our bridge loan saved the property from foreclosure and allowed the broker time to find a long-term loan and close the deal.
Fix and Flip
Investors teamed up with a contractor to acquire, renovate and sell a multi-family property in a major city. The comps were there, the budget made sense and the team was experienced. We provided 90% of the acquisition price and 100% of the construction budget.
A developer purchased a 3,500+ acre tract of raw land for potential development. He envisioned a championship golf course, hotel and resort in a spectacular New England setting. We visited the property, reviewed his plans and agreed to provide cash-out to finance the approvals for this project.
Opportunity knocked for our client. A neighboring apartment building owner offered the “deal of a lifetime” if our client could purchase the neighbor’s building within 14 days. His bank couldn’t act in time, but we closed this loan in three days.
Facing a cash crunch and less than perfect credit, this shopping center owner used a short-term loan from Great Oak Capital to pay off his existing mortgage and other business debts. After catching up on his debts, his credit score shot up almost 100 points and he qualified for traditional long-term financing.
Our borrower had a property under contract to be sold, but the buyer the transaction was taking too long and our borrower needed funds quickly. We provided a loan which was repaid when the collateral was sold.