Unentitled Land Loan

Northern California

$9,000,000 Development Loan for Unentitled Land.  Existing A&D loan was in default with the developer only 70% finished processing of a master planned, single family tentative map. New lender purchased note at $1,000,000 discount and provided borrower with 2 years interest reserve and $750,000 cash out. Borrower had no liquidity.  The cash helped the borrower complete maps on two other master planned communities.