Explanation of Hard Money to Conventional Loan

[Brian Anderson]

Can someone explain how you go from a hard money loan to a conventional? I found 2 shells next door to each other that need complete rehab for $30k and 70-80k in repair. This property will be considered commercial real estate. I have a company willing to sign a 5yr lease at 4k a month before the start of repairs and purchasing the shells. I am shopping hard money now but looks like I should be able to get around 15% interest only 2/1 in my area. I see a lot of the posts say banks will loan 70% LTV. This property set should appraise for approx $250k. Does this mean I am able to borrow up to 175k? I will only need 110k (30k + 80kmax) to pay my hard money guy off. Does this mean I will get a loan from the bank for 110k at an investors interest rate with a potential for a possible 5yr ARM and shorter amortization? Any guidance would be very helpful