Business purpose lending, and nothing else

What we solve

Almost every deal that reaches us has the same shape. A property is worth more finished than it is today, or worth more to this buyer than to the market. Banks are built for the opposite situation: a stabilized asset and a borrower whose tax returns tell a simple story.

So the work is matching the deal to capital that fits it. Sometimes that means funding it ourselves. Sometimes it means telling a borrower to take a bank loan that is cheaper than anything we would write. Both answers are useful, and only one of them pays us.

How we underwrite

Every deal is read against a written credit box before anybody spends money on reports.

Hard money comes down to four things: value today and finished, whether the budget is credible for the scope, the borrower’s track record and cash, and a specific exit. A bridge loan without a landing is a problem with a maturity date, so we stress the exit before we fund.

Commercial files are read on in place and stabilized income, debt service coverage, debt yield, and the borrower’s net worth and liquidity. Then the file goes to the desks that lend on that asset class in that market.

We would rather decline a deal up front than collect fees for six weeks and decline it at the closing table.

The capital behind the hard money

Texas hard money is funded from the Matador Note Fund, a private credit vehicle built to hold bridge, rehab and construction paper rather than sell it. For a borrower that matters for one reason: when we approve a loan, no second party has to agree. There is no aggregator that can change its box and reprice your deal before closing.

It also explains the geography. Our own money goes into Texas, where we know what a finished house on that street is worth and who can put eyes on it. Lending directly outside Texas is a question of knowing a market properly.

The capital markets side

For stabilized and income producing property we act as a broker, in all 50 states. A real package goes out: rent roll, trailing twelve months, pro forma, borrower financial statement and schedule of real estate owned, photographs and a market narrative. Lenders quote seriously when the file is serious.

Then you get a comparison rather than a winner: rate, term, amortization, interest only period, recourse, prepayment, reserves and all in cost, for every quote we pulled. You choose, and we drive that lender to closing.

What we do not do

• Loans on a home you or your family occupy. That is consumer credit and a different rulebook.
• Loans for personal, family or household purposes.
• Upfront diligence deposits or application fees to look at a deal.
• Rate quotes on a website. Leverage and structure are published here. Price is a conversation about your specific deal.