Kennedy Funding Closes $1.41 Million Loan Secured by Mixed-use Property in Montana
Site is situated on the North Dakota border within the oil-rich Bakken Formation
Englewood Cliffs, NJ – Kennedy Funding LLC has closed a $1.41 million loan to American Land Development-Sidney, LLC, owner of a 22.59-acre development site along E. Holly Street in Sidney, Montana, announced Kevin Wolfer, CEO of the Englewood Cliffs, NJ-based direct private lender. The three-year interest-only loan will be serviced by Kennedy Funding.
American Land Development-Sidney, LLC is an affiliate of the King of Prussia, PA-based American Land Development Corp. The property consists of a total of 18 lots within the Sunrise Village subdivision in Sidney, with 11 lots currently zoned residential and the remaining seven lots for commercial use. The location is in east central Montana, near the state’s border with North Dakota, within the oil-rich Bakken Formation and marks Kennedy Funding’s third loan in that region. The site was zoned agricultural and utilized as a sugar beet farm and had no access to city water, sewer or services when it was acquired by American Land Development in 2013.
“The proceeds of the loan will be utilized to complete improvements to the road frontage as required by the Montana Department of Transportation,” said Wolfer. “It is anticipated that the loan will be repaid from the sale of lots. This is also the third loan we have completed in this Bakken region, where the oil industry has spurred a sharp rebound in the housing market.
Previously, Kennedy Funding had closed a $3.5 million loan for a multifamily property in Watford City, ND, as well as a $2.4 loan secured by a 96-acre industrial park in Killdeer, ND, within the Bakken Region.
“Since acquiring the property, ownership has successfully rezoned and subdivided it, and completed all infrastructure for all 18 lots,” said Wolfer. “Based on our expertise, experience and track record, this transaction made complete sense given the site’s development potential in a resource-rich region of the country, as well as the track record of the ownership.”
Kennedy Funding, one of the largest direct private lenders in the country, specializes in bridge loans for commercial property and land acquisition, development, workouts, bankruptcies, and foreclosures. The principals of the company have closed in excess of $2.5 billion in loans to date. The firm’s creative financing expertise enables the closing of equity-based loans of up to a 70% loan-to-value, from $1 million to more than $50 million, in as little as five days. Kennedy Funding continues to actively seek new funding opportunities throughout the world.