Gordon Ln #2

This was our second deal on Gordon Lane, the hilltop cul-de-sac in Pacific Beach that we'd discovered on a prior project. The borrower had finished building a spec house and had it listed, but his existing construction lender's timeline was creating pressure to accept a lower offer. He needed a refinance that would give him breathing room to sell at full value.

Because we'd already funded 5150 Gordon Lane and watched it sell for $7.15 million, well above our underwrite, we had complete confidence in this micro-market. We knew the views, the buyer profile, the price range, and the pace of sales on this street. We came in, took out the construction loan, and gave the builder another year.

He sold for approximately $6 million. Our knowledge of Gordon Lane, earned through the prior deal, let us move quickly on diligence and gave the borrower the patience his project deserved. Sometimes the best thing a lender can do is buy time.