Commercial loan/ refinancing my multi family

[Mitch Balgobin]

Hello everyone: I have been approached by my management company to look into refinancing my (2) 3 family units located in the Bronx Here is part of the proposal agreement. Please give my your thoughts. I am have no experience with this.

2. Loan Type:

3. Loan Amount:

4. Purpose:

5. Term:

6. Interest Rate:

7. Guarantor(s):

8. Security:

9. Prepayment Penalty:

10. Documentation Fee:

11. Loan Fee:

TBD LLC

Commercial Real Estate Loan

The lower of $1,000,000 or up to 65% of the As-Is Appraisal Value Cash Out

10 years based on a 30-year amortization schedule

Year 1-5: Fixed at 2.75% (45-days hold from date of LOI) Year 6-10: Fixed at 5-Year CMT + 2.25% (Floor Rate: 2.75%)

b. Anyone who holds 25% or more of ownership interest

Guarantors shall be joint & several

a. 1st position mortgage of up to $1,000,000 on the property located at

c. 1st position UCC-1 Fixture filing on the property

If the Borrower repays during the life of the loan, the prepayment penalty will be assessed as follows:

5.00% in the 1st & 6th year, 4.00% in the 2nd year and 7th year, 3.00% in the 3rd year and 8th year, 2.00% in the 4th year and 9th year, and 1.00% in the 5th year and 10th year.

Notwithstanding previous paragraph, the Borrower will be afforded a 90-day window before the end of each 5-year period to refinance or pay-off without penalty.

$2,500.00 1.00%

Thank you.

Mitch B.