Lone Oak Fund, LLC is a private mortgage fund licensed as a California Finance Lender under Dept. of Corporations license number 603B623. It is organized for the purpose of making bridge loans secured by first trust deeds on California real estate.
Lone Oak is funded through an exempt private offering. Investors include high-net-worth individuals, pension funds, institutions and charitable foundations.
Lone Oak is a bridge lender with terms ranging from 30 days to 12 months, with 6 month extensions, up to an additional 12 months. The Fund makes commercial, industrial, apartment, condo conversions, remodeling, special purpose property such as churches, schools, retirement facilities, and entitled-land loans to developers, investors and businesses.
Lone Oak does not make ground-up construction loans, loans on leasehold property, loans on unentitled land, loans on owner occupied houses, and loans outside of California.
No. Lone Oak only makes loans secured by first trust deeds, however, Lone Oak can arrange for third-party junior financing if the borrower needs greater leverage.
Loans typically range from $1,000,000 to $15,000,000.
.9% to 9.9% interest only, fixed for the first 12 months based on the quality of the property, location of the property, credit worthiness of the borrower and the amount or size of the loan.
Rates for terms in excess of 12 months are prime based.
Lone Oak's origination fees are based on the quality of the property, location of the property, credit worthiness of the borrower, the amount or size of the loan and loan term.
It is quite simple. Lone Oak determines the amount of the loan origination fee based on the quality of the property, location of the property, credit worthiness of the borrower and the amount or size of the loan. The broker's fee is placed in the loan documents and collected directly from escrow.
Loan terms do not contain prepayment penalties.
Loan terms range from 30 days up to 12 months, with 6 month extensions, up to an additional 12 months.
Most loans close in less than a week.
It is helpful if there is an appraisal, but it is not usually required because the principals of Lone Oak are experienced real estate investors and developers with over 50 years of collective real estate experience.
There are normally no fees or charges until the loan closes.
There are typically only standard title and escrow closing costs. A complicated transaction may require a reasonable legal fee. There is also a site inspection fee for properties located outside metropolitan Los Angeles and Orange County.
Lone Oak does not charge fees for arranging junior financing in conjunction with its loans.
Lone Oak earns loan origination fees only on the first trust deed loans it funds. Lone Oak does not accept commissions or referral fees on loans referred to brokers and lenders. Lone Oak refers loans to those lenders and brokers with whom it does business as an accommodation.