CUSTOMER RETENTION & RELATIONSHIP DEVELOPMENT
Banking is about relationships – those you build and those you keep. We all know the effort that goes into building relationships and unfortunately when a bank turns down a loan an opportunity is created for your competitors. Not only does the competition get a new loan…they also get a shot at the whole banking relationship.
Satisfy your customer’s need without creating an opportunity for your competition.
Formed in 2008, Wilshire Finance Partners is a real estate debt fund that makes bridge loans secured by multifamily and commercial real estate nationwide. We routinely partner with banks and other financial institutions to provide a non-competitive, non-bank alternative to meet the real estate financing needs of bank customers while enabling the bank to maintain the overall customer relationship. Wilshire combines an entrepreneurial approach, institutional sophistication and discretionary capital inside a boutique environment to deliver outstanding service to our origination partners and affiliates.
Why let your competitors get a shot at valuable deposit and banking product relationships because of loan turn downs?
Let us show you how we can provide a short term loan so you can retain your customer and their banking relationship – including, the take-out financing when the time is right.
SOME OF THE BENEFITS
Retain & Develop Deeper Customer Relationships
Have a resource to meet the customer’s lending needs, notwithstanding the fact those loans may not currently fit your lending criteria and portfolio parameters.
Generate Fee Income
Generate fee income on loans you would otherwise turn down.
Expand & Diversify Product Offerings
Provide an outlet for ‘non-bankable’ real estate loans.
Maintain Regulatory Compliance
Because these loans never hit your balance sheet and there is no recourse to you (as compared to the recourse obligations associated with certain other secondary market transactions), there is little to no business or regulatory risk.
Avoid Competition & “Poaching”
Because Wilshire is not a bank and is only focused on the bridge loan transaction, you will not risk losing the customer relationship because they went to your competitor.
Create Multiple Lending and Fee Opportunities
Wilshire makes shorter term bridge loans (generally, from 6 to 36 months in duration) which create an opportunity for the bank to provide the take-out financing once the property has been repositioned and/or the other issues which may have caused the loan to fall outside your parameters have been addressed or seasoned.
Provide Superior Service
As former bankers, you can expect honest, fast, reliable service, and loyal partnerships with Wilshire.
$3,360,000 | SENIOR HOUSING
Purpose: Cash Out Refinance (Pre-SBA)
Lien Position: First
Closing Time: 20 Days
Acquired in distress through the Florida Department of Health and Human Services and near stabilization at the time of the loan request, the sponsor needed to repay most of the syndicated equity, recoup a portion of the sponsor’s equity and pay other unsecured debt – making the request unsuitable for an SBA loan. Wilshire provided a 2-year bridge loan with cash out to repay the syndicated equity and a sponsor earn-out to successfully position the property for the banker to provide an SBA loan.
$500,000 | COMMERCIAL
Lien Position: Second
Closing Time: 28 Days
A good customer of the bank faced a maturity date on their existing loan. However, the refinancing request exceeded the bank’s loan-to-value threshold. Working with the banker, Wilshire funded into a combined loan facility consisting of a new first loan made by the bank with an accelerated amortization schedule and a new interest only second loan made by Wilshire. Accelerating the amortization on the first loan would reduce the combined loan to meet the bank’s LTV threshold for a new loan by the bank in 18 months.
$1,200,000 | MULTIFAMILY
Purpose: Cash Out Refinance
Lien Position: First (cross collateralized)
Closing Time: 10 Days
The borrower was in escrow to purchase a commercial building and needed to close. The banker was working on a large credit facility for the borrower and recognized he needed another 120 days before loan approval. Referred by the banker, Wilshire structured a cross collateralized cash-out refinance that enabled the borrower to close his purchase on time. Wilshire’s loan was repaid through the new bank facility in 120 days.