1. Loan Purpose
The previously successful Mortgage Vintage Borrower sought a business-purpose loan secured by an existing 8-unit multifamily asset in Los Angeles. Loan proceeds will be used to refinance an existing Mortgage Vintage 1st Trust Deed and provide remodel funds and small cash-out liquidity to the borrowing entity.
Based on the information provided, the transaction is structured as a bridge-style refinance, allowing the borrower to reposition their capital while maintaining ownership of the property. Owner and her Son are Co-Borrowers on the loan.
2. Property Description
The collateral is an 8-unit multi-family apartment building located at 2345 Duane Street, Los Angeles, California, within the Silver Lake / Edendale area. The property was constructed in 1965 with recent remodels to a number of units and consists of approximately 6,830 square feet on a 7,505 square foot lot. The building is two stories and includes gated, covered parking.
An independent third-party appraisal dated January 4, 2026 concluded an As-Is market value of $2,950,000, based on both the sales comparison and income approaches. The property is zoned LARD2, a legal and conforming multi-family use under current zoning.
The investment is secured by a new 1st Trust Deed with a loan amount of $1,650,000, resulting in an As-Is Loan-to-Value (LTV) of approximately 55.9%, providing a meaningful equity cushion beneath the loan.
What We Like
From a credit perspective, the loan is structured with several notable strengths:
- A sub-60% LTV based on a current, independent As-Is appraisal, providing a substantial equity buffer.
- First lien position, offering seniority in the capital stack.
- Stabilized multi-family collateral in a dense, supply-constrained SilverRock Los Angeles submarket.
- An appraisal-supported value derived from both income and comparable sales, rather than speculative future assumptions.
- A defined loan term with contractual interest payments and a clear refinance or sale-based exit.
$1,650,00 1st TD @ 8.750%, 55.93% LTV, CO, Multi-Family, $66,000 Min., Los Angeles, CA
