Application Checklist

• Company
• Address
• Phone
• Cell Phone

Borrower name (as it appears in the formation documents). What type of entity is the borrower (e.g. corporation, llc, etc.)

Please enter the following information for all borrowers with greater than 25% interest in the property: approx. net worth (pre-loan), approx. liquidity (pre-loan), borrower's approximate credit rating (FICO score). Has this borrower ever declared bankruptcy? If yes, please explain.

Is a member of the borrowing organization a felon? If yes, please explain. Is there pending litigation, criminal connection, foreclosures, or bankrupticies? If yes, please explain.

Provide a brief description of the relevant experience of each of the principals. Provide a representative list of previous or current commercial real estate projects.

If the request comes after March, provide the operating history for the most recent 13 months.

Provide a current rent roll showing:For each current tenant: suite, sq ft, current monthly rent, lease start, lease end, rent increaseFor vacant space:suite, sq. ft. market rent.

Provide pro-forma income statement with projected rents, other income and expense items at stabilization.

Provide total cost of project. The following is a guideline list of items for the Project Cost:

Provide the total cost of the acqusition (including: purchase price, commissions and other closing costs.)

Provide 3 years of historical tenant improvement and leasing commission expenses by tenant. This cost information should correspond with the rent roll start dates.

What kind of financing do you want: long term fixed rate (> 5 yrs)(these have big prepayment penalties), short term fixed rate, variable rate, fixed to variable, interest only? Required amount. Desired term. Desired amortization? Non-recourse? Is this a cash out loan? If so, please explain use of cash.

If there an existing loan on the property? If so, please provide: lender, loan amount, due date, prepayment Penalty (if any), interest rate, end of term, payment. Has the existing lender been approached about refinancing their note? If so, what was their response? Note: Check to see if there is a demand notice period and conditions (some lenders require a 90 day written notice and will charge a fee if you request the loan closed earlier).

Provide a brief description of the location (this is often found in an appraisal). Include access information (arterials, mass transit and freeway interchanges). Define the market area (commercial business district (CBD), suburban park, freestanding) and the distance from the CBD center. What kinds of properties are in the surrounding area.

Gather information on the local economic environment and adjacent property uses, condition, and trend.

Provide a brief description of the building, construction, condition, age, amenities, parking and loading areas.

Provide:

• Lot size
• street access description
• lot terrain description
• number of parking places
• parkingfacilities description

Provide photos (digital preferred) of property exterior (and interior if available).

Provide a copy of the purchase contract and all amendments. If the contract is not complete provide a copy of the Letter of Intent.

Provide a copy of the most recent appraisal, if available.

Provide latest environmental status report, if available (especially if there has been an issue or a cleanup).

Provide the investment sales package as it will contain much of the information required to create the loan request.

Is there asbestos in: sheet linoleum, fire proofing, insulation, ceilings? If so, please explain? Is there an Operating and Maintenance Plan (O and E) for containing the asbestos? If so, please explain?

Is the project older than 1990 or located on or near an earthquake fault (CA, WA, OR)? If so, is the building designed for earthquake safety?

Has the property been occupied by a tenant or tenants that use hazardous substances (solvents, etc)? If so, has the site been tested for releases?

Is the property on a ground lease? If yes, please explain:

Is there an underground storage tank on the property or has there ever been an underground storage tank removed from the property?

Lease Summary Note: Include section number/paragraph number in lease when filling out the summary. 

• Tenant Name:
• Landlord:
• Lease Guarantor:
• Date:
• Square Feet:
• Rent/increases including option periods:
• Right to Purchase: y/n
• TI Adjustments, Are improvements re-useable?
• Term/option:
• • Find confirmation of the commencement date
  • Notice period for exercise of option
  • Deposit: (Note: A cash deposit may be subject to a bankruptcy proceeding. A letter of credit deposit likely would not be as this would be a bank obligation, not a tenant.)
  • Tenant Reimbursements:
  • Lease Type: NNN, Industrial Gross, Full service, gross
  • Property Taxes: y/n, Paid directly by tenant: y/n
  • Fire Insurance: y/n, Maintained by tenant: y/n
  • Operating Expenses/Common Area Maintenance: y/n
  • Repairs and Maintenance:
  • Administration: y/n and amount
  • Management: y/n and amount
  • Tenant Share:
  • Non-Reimbursable Expenses (list):
  • Base Year: Year and Base year expense #
  • Lease Termination:
  • Eminent Domain:
  • Assignment/Subletting: (Does this tenant remain liable under the lease?)
  • Damage and Destruction:
  • Joint Operating Agreement/Cotenancy Requirement:
  • Operating Covenant/Go Dark Clause:
  • Other:
  • Requirement to restore or repair adjacent buildings, whether owned by the borrower or not.
  • Tenant funding (often seen with government tenants)?
  • Mortgage Protection
  • Estoppel/Offset statement: y/n
  • Subordination: y/n
  • Lender Notice: y/n
  • Lender Cure:

Provide a copy of all leases where the tenant occupies 25% or more of the space.

For each tenant that occupies 25% or more of the space: Provide a background summary on the tenant (history, products, web page, etc.). For retail properties: provide three years of store sales. For single tenants: provide a copy of the company's (and if appropriate, their subsidiary's) latest financial statement.