Huntington Beach, CA

This loan is a first deed of trust on a five-unit multifamily residential income property in Huntington Beach, CA. Located along the Orange County coastline, Huntington Beach is known for its expansive beaches, desirable residential neighborhoods, and convenient access to shopping, dining, and recreational amenities. The city's coastal location and proximity to major employment centers throughout Orange County contribute to its strong residential appeal. The subject property, located approximately two blocks from the beach in downtown Huntington Beach, is a two-story multifamily investment property situated on an approximately 5,663-square-foot lot. Originally constructed in 1974, the property contains approximately 5,292 to 5,430 square feet of building area, consisting of four residential units and a newly constructed three-bedroom, three-bathroom accessory dwelling unit (ADU). The property has undergone extensive renovations, including structural improvements, updated plumbing and electrical systems, HVAC upgrades, remodeled kitchens and bathrooms, new flooring, windows, doors, appliances, and interior and exterior finishes. Several units are currently vacant pending lease-up, with projected stabilized rental income of approximately $17,800 per month, or $213,600 annually. Two appraisals completed in June and August 2026 valued the property at $3,750,000 and $3,300,000, respectively. The Borrower acquired the property in 2024 and has since completed substantial renovations and the addition of the ADU. The purpose of the loan is to refinance the existing mortgage and facilitate the buyout of an existing partner. The new loan amount is $2,300,000, representing a loan-to-value ratio of approximately 61% to 70%, depending on the appraisal. The loan will have a maturity of 24 months.