Financing your home can seem complicated; financing commercial and investment real estate can be much more so. Residential lending is, to a large degree, standardized. Commercial and investment lending is much less standardized; each lender has its own way of doing business. At Rice & Stallknecht, P.C. we have worked with many different lenders on many different types of loans and we can assist you in working your way through what can seem like a very complicated and difficult process.
Keep in mind that a “Term Sheet” or “Loan Commitment” is, generally, not binding on the lender and, even though you have one which seems to describe a loan you can agree to, the actual loan documents may have additional terms, sometimes even completely different terms, than what you expect based on the Term Sheet. It is a very good idea to bring an attorney into the process as early as possible to assist you in making sure that you understand your loan when the lender offers it, and that the loan you actually get is what you expect.
In addition, a commercial loan will generally require a lot of things which may be best done by an attorney. The lender will want various organizational documents concerning your business such as articles of incorporation or organization, good standing certificates, governing documents, and resolutions, and various documents about the real estate such as zoning compliance, and environmental status which an attorney can assist you with. Commercial lenders also often require an attorney opinion letter about a number of matters. Preparing an attorney opinion letter can take time, and the process will go much more smoothly if the attorney has been involved from the start.