Since the “Great Recession” of 2008, private lending has experienced increased demand as traditional banks have tightened standards and left a void in the debt marketplace. An improving real estate climate and more media exposure have increased the number of developers pursuing the “buy and flip” and “buy and rent” business models. The lack of debt options and the increasing number of developers has created a vacuum that private money originators have seized upon to increase their originations to over $30 billion annually.
The Aslan lending platform was a natural extension of the single-family reposition business, Aslan Residential. Aslan lending provides capital for fix and flip projects, construction loans, and for developers looking to hold a property through project stabilization. A developer often needs quick funding to control the transaction or may not meet the strict requirements of conventional banks. These loans are typically at higher interest rates than conventional residential or commercial property loans because of the certainty and timeliness of execution and the shorter duration of the loan. This higher interest rate provides Aslan investors an attractive stable return, with greater liquidity, and without the same risk associated with real estate equity investments.
Our current fund, Aslan Secured Income Fund I, LLC invests in mortgage loans, supported by the underlying value of the asset. Aslan targets lending opportunities with a minimum 9% interest rate per annum. This allows Aslan to operate profitably and pay a 7% Preferred Return per annum to investors on a quarterly basis.
For more information on Aslan Secured Income Fund I, LLC, please select the short flyer or the full brochure.