Carle Place, NY Due By the First (DBTF) specializes in short-term bridge financing for commercial property in the greater New York area, Long Island and Lower Westchester, where deals happen quickly.
Utilizing superior expertise and local knowledge, DBTF (dbtfny.com) is able to quickly bring a deal from request to funding for those who are often unable to get traditional bank financing. Developers who need a loan quickly, borrow from DBTF to turn a deal request into a loan for acquisition, permanent financing and commercial debt acquisition.
Strong local relationships and quick turnaround are the key to DBTF’s reputation as the one-stop shop for commercial or residential loans where underwriting is based on the value of the asset, not the client’s credit rating. Most loans take only days from getting a title report completed, and developers see the value in saving time and closing their deals fast, even though the interest rate on the loan may be a little higher than traditional bank/institutional lenders.
“Our underwriting is primarily based on the value of the asset,” said Matthew Murphy, portfolio manager at Long Island-based DBTF.
The company with the “catchy name” underwrites new deals and those under management and aggressively seeks opportunities in originations and purchases of loans on commercial real estate.
When individuals need money for acquisitions, permanent financing and commercial debt acquisition many turn to DBTF to bring the deal to a speedy resolution. “Since the COVID pandemic, we have also seen clients turn to DBTF to navigate foreclosure bailouts,” said Murphy.
What makes DBTF unique beside having a recognizable namesake, is that the company is not bogged down by institutions, or banks which have to meet certain criteria. Strong local relationships and quick turnaround have been the company's foundation to success since it was founded in 2014 by industry leaders.
“We work hard to build and maintain a great relationship with both our borrowers and the brokerage community,” said Murphy. “Rest assured that upon receipt of deal request you will hear back from us in one business day. We guarantee quick closings, within days of receipt of getting the title report.”
DBTF never orders appraisals as most banks do; or even environmental reports. They do their own evaluations. “We don't pull credit reports on any of our clients,” said Murphy, “Lending is based on asset’s value which gives us a lot more flexibility.”
“People listening to people” is what DBTF does best and helps to structure all the company’s loans to clients' specific needs. DBTF loans are mostly financed directly with the company's own capital, but does take in partners on a few occasions.
Loans typically are 60 to 70% loan to value, meaning the loan is structured toward the value of the property. The average interest rate is 7 to 12% on each loan which is competitive with the market rates on these type of loans.
Last year DBTF originated $30 million with a portfolio of $25 million. The company's average loans are in the $1.5 to $3 million range, but they have done deals as low as $500,000, and as high as $10 million.
The COVID pandemic has not changed things for them except that, “We are more diligent and take a closer look at retail and office properties,” said Murphy. “We still make aggressive loans.”
Some recent loans that DBTF have closed include:
New City Garden Apartments: DBTF provided 100% financing on an acquisition of 29-unit multifamily garden style apartment complex in New City, NY. This was an estate sale where the purchaser had to close quickly. DBTF quickly realized the below market sale price and was able to provide quick funding.
21st St. in Astoria JV: DBTF provided funding for a joint venture development site. This site is to be redeveloped into a new 12-story mixed-use property with 40 apartments and retail space on the ground floor.
Woodside Construction Loan: DBTF provided construction financing for a stalled project in Woodside, Queens. The developer needed funds to move his 12-unit mixed-use project forward. DBTF provided capital needed to finish the project with an estimated completion date of January 2022.
Bayside Bridge Financing: DBTF provided borrower with a refinance of a vacant two-story mixed-use building in Bayside, Queens. The building suffered structural damage due to ongoing construction at the site next door. The borrower had a traditional mortgage coming due and was unable to secure traditional financing.
Nassau County, NY: DBTF provided funding to a business owner on three properties in Nassau County to provide the liquidity needed to pay open taxes on the business due to the COVID pandemic.
Eastchester, NY: DBTF provided financing for a single-story retail building in Eastchester, NY. The property owner was faced with a default and was in jeopardy of losing his building due to a foreclosure.
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