Lending · First lien · $1M–$5M typical
Value-add and reposition financing
Capital structured around a business plan — renovation, re-tenanting, operational turnaround, or completing a plan that has stalled.
In short
Value-add financing is capital used to execute a defined improvement plan on a commercial property, sized around the work required and the income that work is expected to produce. Stokley Capital evaluates these requests as an operator, testing the plan itself rather than only the property's current income.
Hard money lending guidelines
Asset-based financing. We focus on the property's value and the owner's equity, not a credit score. Low credit does not rule out a request. Every deal is subject to underwriting.
- Annual rate
- From 11.5%
- Origination
- From 2% of the loan amount
- Term
- 6 to 12 months
- Payments
- Interest only
- Loan-to-value
- Up to 70%
- Lien position
- First position only
Third party closing costs are separate.
Every term sheet is different. Every deal goes through underwriting and has specific terms. These are guidelines, not a commitment to lend.
Plans we finance
A value-add plan should be specific: what gets fixed, what it costs, what changes as a result, and how long it takes.
- Unit or building renovation with a defined scope and budget
- Re-tenanting or lease-up of vacant space
- Operational turnaround of a mismanaged asset
- Completing a stalled or partially executed business plan
- Deferred maintenance remediation ahead of a refinance or sale
How we test a business plan
We compare the plan against what the asset can actually deliver in its market — achievable rents, realistic expenses, credible timelines and honest capital expenditure budgets.
Plans fail on execution more often than on thesis, so we spend our diligence on who is doing the work and how it is being managed.
Asset classes we know
We are strongest where we operate: self-storage, mobile home parks, multifamily and industrial. We will review other property types on their own facts.
Request loan terms
Submit a value-add financing request.
Questions
Answers before you ask.
- What is value-add financing in commercial real estate?
- It is capital used to fund a defined improvement or repositioning plan on a commercial property, with sizing based on the scope of work and the income the completed plan is expected to support.
- Do you finance partially completed projects?
- Yes. Completing a stalled or partially executed business plan is one of the situations we evaluate.
- What loan sizes do you make, and do you publish rates?
- Loans are typically $1M–$5M, first lien only, and larger loans are considered. We do not publish rates or leverage: every request is evaluated on the specific property, situation and business plan, and any financing is subject to underwriting, diligence, documentation and approval.
- Which property types do you know best?
- Self-storage, mobile home parks, multifamily and industrial — the asset classes Stokley Capital owns and operates. Other property types are reviewed on their own facts.
Nothing on this website is an offer to lend or a commitment of capital. All loans are subject to underwriting, due diligence, documentation and approval. Published lending guidelines are for general guidance only. Every deal goes through underwriting and has specific terms.
Next step
Have a plan that needs capital behind it?
Send the property, the amount and the deadline. A principal will respond directly.