HUD 221(d)4 PROGRAM
construction and substantial
rehabilitation of multifamily properties
Beech Street is now Capital One Multifamily Finance and our commitment to customer service is even stronger.
Capital One Multifamily Finance provides an array of financing solutions for multifamily investors that includes acquisitions,
refinancing, and new development. We offer a wide range of Fannie Mae, Freddie Mac, and FHA programs nationwide as well
as balance sheet products in selected markets for construction, bridge, and term loans. This gives us the breadth of resources
to structure transactions that closely meet the needs of our customers. We take pride in delivering “good enough just isn’t”
service at every stage of the lending process, from origination and underwriting to closing and beyond.
TERMS
OVERVIEW
Eligible Properties
•FHA insurance can be used for
the construction or rehabilitation of
multifamily properties (minimum
five units)
Eligible Borrowers
Maximum LTC
•Non-recourse (including construction
period), with exception of standard
carve-outs. Fully assumable
•83.3% for market rate properties.
87% for affordable properties. 90%
for Section 8 properties (90% or
greater rental assistance)
Minimum DSC
•1.20x for market rate properties.
1.15x for affordable properties.
1.11x for Secton 8
Commercial Income
•Permitted up to 15%. Permitted up to
20% in urban renewal areas
Assurance of Completion
•GC must post bond or Letter of Credit
•Single-asset, single-purpose entities
Loan Features
Escrows
•Working Capital, Operating Deficit, tax,
insurance and replacement reserves
escrows required
Pricing
•Pricing is based on the risk attributes
of each loan and market rates. Rates
are quoted daily. Contact Capital One
for specific pricing
• Fixed rate
• Flexible pre-payment options,
typically 3 year lock and declining penalty
• IO during construction rolling
into a permanent 40 year term
• 40 year fully amortizing, self-liquidating loan
• Ground up construction or
Substantial Rehabilitation of
an existing structure
To learn more about how the
Capital One team members will
roll up their sleeves for your
business, contact
Capital One Multifamily Finance
7600 Wisconsin Ave., Suite 800
Bethesda, MD 20814
Available
855-we-do-more (855-933-6667)
•Nationwide
infomultifamily@capitalone.com
BSPRA
•Builder Sponsor Profit Risk Allowance
of 10% of all costs (exclusive of land
value) permitted to offset cash/equity
requirements when an identity of
interest exists between the Owner
and Contractor
Products and services provided by Capital One Multifamily Finance LLC,
wholly owned subsidiary of Capital One N.A., Member FDIC.
© 2014 Capital One. All rights reserved.
www.capitalonemultifamily.com