NEW YORK — Liberty SBF, a commercial real estate lending company with offices on Park Avenue in Manhattan, has received $75 million in its Series B round of funding led by Exigent Capital and Mainline Investment Partners, among other private investments. In conjunction with the equity raise, Liberty SBF has expanded credit facilities with Capital One Bank.
Congress recently passed legislation to permanently reinstate the SBA 504 Refinance Program. When this program begins, later this month, it will help to refinance some of the almost $1 trillion in commercial mortgage debt predicted to mature over the next three years, exponentially expanding the market for 504 loans. Liberty SBF plans to capture a significant volume of the refinance wave through its National First Lien SBA 504 Wholesale Program.
“Liberty SBF expects to originate over $200 million in 504 loans in the next 12 months on asset types that range from industrial and self-storage facilities to hotels among others,” said Alex Cohen, Chief Executive Officer, Liberty SBF. “By increasing our already substantial nationwide network we will help serve more small businesses seeking commercial property financing.”
By revitalizing and transforming the 504 market, Liberty SBF is filling an exceedingly large void in secondary market lending with its National First Lien SBA 504 Wholesale Program. Liberty SBF will partner with approved banks, non-bank lenders and other SBA loan intermediaries to originate 504 loans across the country and can pay up to 4 points of premium to its partners.
“We’re excited to invest directly in a platform that is revolutionizing the commercial real estate lending business,” said Elie Brender, Chief Investment Officer, Exigent Alternative Capital. “Liberty SBF’s lending focus and existing portfolio presents a compelling opportunity that is consistent with our investment strategy.”
Liberty SBF also services the loans in its own portfolio and will introduce a third party loan servicing platform to banks and credit unions later this year. With the increase in demand from commercial mortgages maturing, Liberty SBF will be able to provide the highest level of service and loan support to small businesses nationwide.