Tarzana Spec Home Recovery
Borrower began construction on a high-end spec Tarzana home in 2008, but due to bank failure, the funds were held back. As a result, construction was delayed and the new lender filed a Notice of Default. The borrower was then forced to file bankruptcy to stop the foreclosure process.
Borrower came to Lone Oak Fund LLC looking for a speedy refinance to pay off the current debt. Lone Oak was able to provide cash out financing of $1,100,000 for 12 months, at 8.9% interest only, and 2 points, allowing the borrower to save the property from foreclosure.
Borrower plans to finish the construction and put the home on the market once completed.