Refinance Best Practices

[Pope Lake]

Hi BP! 

I've become more interested in the multi-family space recently after reading Multi-Family Millions by Dave Lindhal and various multi-family related market reports. 

One question that has come up is around refinancing. When refinancing a multi-family project what are some of the "hurdles" that are commonly used, in terms of returning capital to your investors? 

For instance, I've heard that a refinance should be done only if 60% of capital can be returned to investors... I've also seen that this number can be 50%. What rate do you use?