Lending Products Initiative Capital offers three lending products, each one designed as an affirmative response to the financial/lending needs of the State's non-profit community economic development industry.
Flexible Credit
The purpose of this loan product is to provide bridge financing where firm take-outs exist (cannot be used to bridge other investments from the Initiative or Initiative Capital).
Example: Initiative Capital provided a $40,000 bridge loan to Wilson Community Improvement Association in Wilson, NC as a part of a $6 million rehabilitation of Beacon Pointe, a 104-unit apartment complex, to provide additional affordable rental units.
Land Acquisition
These funds can be used to acquire undeveloped land or land with highly depreciated improvements for development or redevelopment purposes (not for speculative purposes).
Example: A $45,000 land acquisition loan was provided by Initiative Capital to UHURU, Inc. in Rich Square, NC to develop a 54-unit, single-family subdivision.
Permanent Financing
These funds provide permanent financing for commercial and multi-family real estate projects either independently or in tandem with other lenders and funders.
Example: Initiative Capital provided a $205,000 loan to Gateway CDC to refinance a maturing note as well as for renovations on their 8,000 sf business incubator building located in downtown Henderson, NC.
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