Major Residential Rehab — Miami, FL
Institutional investor, large-scale renovation with significant value-add
The Challenge
An institutional investment group identified a residential property in Miami with massive upside potential. The as-is value was $632,000, but with extensive renovation the projected after-repair value was $3.5 million — a 5.5x increase. The scope of work was large, requiring over $1.2 million in construction costs, and traditional lenders were unwilling to take on a project of this complexity and scale.
Our Solution
Domus Lending structured a $1.64M total loan package covering both the acquisition and the full renovation budget. With an institutional-level borrower and strong deal fundamentals, we moved quickly to get the project funded. The loan was structured as a 12-month interest-only term, giving the borrower enough runway to complete the extensive renovation and exit through sale or refinance.
The Result
The project is currently underway and performing as expected. At completion, the borrower stands to realize significant equity creation, with the property projected to appraise at $3.5M against a total project cost well below that figure.