Kennedy Funding closes a $1.7 million land loan
Suitland, MD — The principals of Bedford Crest, LLC knew they were on to something big when they entered into contract to purchase 10.66 acres of raw land in Suitland in 2014 for $900,000. They had one of the best land sites in the area at Old Branch Rd. It took two years for the borrowers to successfully rezone the property allowing for 175 apartments units and 57 townhome units, thus improving the value of the property by millions. But when it came to finding a lender willing to lend based on only the borrower’s vision and using the land as collateral, that’s altogether another story. “That’s where we come in,” said Kevin Wolfer, president and CEO of Kennedy Funding Financial. “There are very few lenders in the country - if any - willing to take the risk. While valuing real estate in any market is extremely challenging, we based this loan strictly on the land value with the new zoning in place. “We saw the potential of this site,” he adds. “The borrower doubled the density of the project which in turn boosted our loan size. It’s a win-win for Kennedy and the borrower, alike.” Kennedy Funding closed on the $1.7 million loan. The borrower, Bedford Crest, LLC will use the loan proceeds for acquisition of the property, infrastructure improvements and for working capital.