The contractor clearly demonstrates sufficient working capital for the current work in progress and the planned sister facility and the subject facility. In addition to the above working capital, the contractor also has a $XXXXM revolving line of credit that currently has no balance. The line of credit is available to supplement the above working capital, if necessary, during construction. >> Conclusion <<Provide narrative discussion of conclusion and recommendation. For underwriter’s example, general contractor has demonstrated an acceptable financial and credit history. “The The general contractor has the experience to continue to complete the construction. The underwriter recommends this general contractor for approval as an acceptable participant in this >> transaction.” Operation of the Facility Staffing <<Provide narrative description of review. For example, appraiser and underwriter have “The reviewed the proposed staffing to be charged to the facility and found it to be acceptable and within reason.”>> Operating Lease Date of agreement: Current lease term expires: Description of renewals: Current lease payment: Major movable equipment ownership: <<borrower/operator>> Key Questions Yes No Will the facility be leased? . Will the facility be subleased (master lease)? At closing, will the lease have a term that will expire within 5 years with no lease renewal options? Does the lease contain any non-disturbance provisions? Does the lease require the borrower to escrow any funds other than those associated with this loan? Has the lender recommended any special conditions concerning the lease? Is the lease payment adequate to provide sufficient debt coverage after the costs of the mortgage?
The contractor clearly demonstrates sufficient working capital for the current work in progress and the planned sister facility and the subject facility. In addition to the above working capital, the contractor also has a $XXXXM revolving line of credit that currently has no balance. The line of credit is available to supplement the above working capital, if necessary, during construction. >> Conclusion <<Provide narrative discussion of underwriter’s conclusion and recommendation. For example, “The general contractor has demonstrated an acceptable financial and credit history. The general contractor has the experience to continue to complete the construction. The underwriter recommends this general contractor for approval as an acceptable participant in this transaction.” >> Operation of the Facility Staffing <<Provide narrative description of review. For example, “The appraiser and underwriter have reviewed the proposed staffing to be charged to the facility and found it to be acceptable and within reason.”>> Operating Lease Date of agreement: Current lease term expires: Description of renewals: Current lease payment: Major movable equipment ownership: <<borrower/operator>> Key Questions Yes No Will the facility be leased? . Will the facility be subleased (master lease)? At closing, will the lease have a term that will expire within 5 years with no lease renewal options? Does the lease contain any non-disturbance provisions? Does the lease require the borrower to escrow any funds other than those associated with this loan? Has the lender recommended any special conditions concerning the lease? Is the lease payment adequate to provide sufficient debt coverage after the costs of the mortgage?
9004_ORCF.DOCX