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Open verified JSON ↗Brochure Arbor 2025 FHA
Arbor Realty Trust · indexed
- pricing
- Reduction depending on market conditions. Our FHA loans are high leverage with up to 40-year amortization that is fully assumable for more manageable loan payments. Arbor’s dedicated FHA lending platform offers our clients unique competitive benefits and customized loan solutions to ensure the financial success of their properties and portfolios. FHA Competitive Advantage 5 800.ARBOR.10 | arbor.com/fha-multifamily
“Conventional Multifamily, Affordable Housing, Senior Housing, and Healthcare. FHA Loan Program”
Brochure Arbor 2025 FHA ↗FHA 220
Arbor Realty Trust · indexed
- amortization
- Construction loan period (interest - only), followed by 40 - year permanent (fully amortizing). Interest R ate is fixed prior to c losing. Underwriting Occupancy Maximum economic underwritten occupancy of: • 93% for market - rate or LIHTC - restricted properties with rents are less than 10% below - market • 95% for LIHTC - restricted properties with rents at least 10% below market • 97% for projects with 90% or greater rental assistance Construction Escrows Working Capital (2% - 4% of Loan Amount) and Initial Operating Deficit; balances released after six consecutive months of break - even operations. These escrows can be cash or letters of credit.
- dscr
- An amount that achieves a minimum debt service coverage: a) 1.176x DSC for market - rate properties; b) 1.15x DSC for LIHTC - restricted (with affordable rents that are at least 10% below market); and c) 1.11x DSC for properties having at least 90% project - based rental assistance
- fees
- Negotiable Legal/Closing Fee Borrower pays Arbor’s counsel fee and miscellaneous closing costs
- loan amount
- For loans less than $1 30M , the lesser of: 1.
- loan purpose
- Repairs must exceed $19,293 per unit (adjusted for local high - cost factor) Commercial Space Maximum 25% of gross floor area and maximum 30% of effective gross income; 20% vacancy rate applied Davis-Bacon Davis - Bacon labor standards and wage requirements apply to construction and rehabilitation work The Program has the Following Additional Parameters • All transactions must participate in a concept meeting with HUD prior to application submittal. • Streamlined processing is available for loans involving LIHTC s .
- ltc
- 85% of total eligible development costs (for market rate); 87% for LIHTC - restricted (with affordable rents that are at least 10% below market); 90% for properties with at least 90% rental assistance; development cost includes value of land for new construction and as - is value of property for substantial rehabilitation; 2. Statutory Limits: FHA mortgage statutory per - unit limits adjusted for local high - cost factor; or 3.
- prepayment
- Permitted during permanent period. Typically , 10% in year one, declining 1% per year thereafter; other prepayment options available subject to market conditions. HUD Application Fee 0.30% of loan amount (non - refundable). Half of the fee is paid at pre - application and the other half at firm application. For affordable transactions , the full fee is paid at firm application. HUD Application Fee is reduced to 0.20% total for qualified opportunity zone properties (and 0.10% for Broadly Affordable). HUD Inspection Fee 0.50% of loan amount (new construction) 0.50% of costs associated with construction (substantial rehabilitation)
- recourse
- Non - recourse – construction and permanent phase Assumable Subject to Arbor and HUD approval and payment of assumption fee Secondary Financing Permitted in the form of a surplus cash note and only from a governmental source. The only exception to this is seller - financed secondary debt , allowed on market - rate transactions that are less than 50%
- reserves
- Monthly deposits required for taxes, insurance and replacement reserves HUD Mortgage Insurance Premium (MIP): Upfront MIP: 0.25%; Annual MIP Rate : 0.25%
- sponsor requirements
- Single asset entity (for - profit or non - profit) Eligible Asset Type New construction or substantial rehabilitation of apartment properties located in urban renewal areas. Apartments designated for the elderly or limited to elderly occupancy are not permitted. Maximum
- term
- a nd
- underwriting requirements
- Market Study, Appraisal, Architect/Cost Review , and Phase I Environmental (Phase II if necessary) , PCNA (substantial rehab); CPA reviewed borrower financials of last fiscal year (substantial rehab) Good Faith Deposit Negotiable based on project type and loan size
“V022526 arbor.com | 800.ARBOR.10 FHA ® 220 Mortgage Insurance for Rental Housing for Urban Renewal and Targeted Redevelopment * Arbor provides FHA-insured, long- term, fixed - rate financing for new construction and substantial rehabilitation of multifamily projects nationwide. This program provides for both construction and permanent financing for projects in urban renewal areas and other areas where local governments have undertaken designated revitalization activities. Applications are typically processed in two stages : preliminary application , followed by firm application. Affordable/ren”
FHA 220 022526 ↗FHA 221D4
Arbor Realty Trust · indexed
- amortization
- Construction loan period (interest-only), followed by 40-year permanent (fully amortizing) Maximum
- dscr
- An amount that achieves a minimum debt service coverage: a) 1.15x DSC for market rate properties; b) 1.11x DSC for LIHTC-restricted (with affordable rents that are at least 10% below market); or properties having at least 90% project-based rental assistance
- fees
- Negotiable HUD Application Fee 0.30% of loan amount (non-refundable); half of the fee is paid at pre-application and the other half at firm application; for affordable transactions, the full fee is paid at firm application; HUD Application Fee is reduced to 0.20% total for qualified opportunity zone properties (and 0.10% for Broadly Affordable) HUD Inspection Fee 0.5% of the mortgage amount for new construction; 0.5% of the cost of repairs for substantial rehab Legal/Closing Fee Borrower pays Arbor’s counsel fee and miscellaneous closing costs Davis-Bacon Davis-Bacon labor standards and wage requirements apply to construction and rehabilitation work HUD Mortgage Insurance Premium (MIP) Upfront MIP: 0.25%; Annual MIP Rate: 0.25%
- loan amount
- For loans less than $130M, the lesser of: 1.
- loan purpose
- Repairs must exceed $19,293 per unit (adjusted for local high-cost factor and project’s # of units)
- ltc
- 87% of total eligible development costs (for market-rate); 90% for LIHTC-restricted (with affordable rents that are at least 10% below market) or properties with at least 90% rental assistance; development cost includes value of land for new construction and as-is value of property for substantial rehabilitation 2. Statutory Limits: FHA mortgage statutory per unit limits adjusted for local high-cost factor; or 3.
- prepayment
- Typically, 10% year one, declining 1% per year; other prepayment options available, subject to market conditions Assumable Subject to Arbor and HUD approval and payment of assumption fee Good Faith Deposit Negotiable based on property type and loan size
- pricing
- Fixed-rate subject to market conditions at time of rate lock
- property types
- New construction or substantial rehabilitation of market-rate, affordable, or rental-assisted apartment properties
- recourse
- Non-recourse – construction and permanent
- reserves
- Monthly deposits required for taxes, insurance, and replacement reserves (minimum $250/unit/year)
- sponsor requirements
- Single asset entity (for-profit or non-profit) Underwriting Occupancy Maximum economic underwriting occupancy of: • 93% for market-rate properties (i.e., at least 20% market-rate units, or LIHTC unit whose rents are < 10% below market rents) • 95% for LIHTC restrictions on at least 80% of units at rents at least 10% below market • 97% for properties having at least 90% rental assistance, or 90% LIHTC set aside with rents at least 10% below market Construction Escrows Working Capital (2% -4% of Loan Amount) and Initial Operating Deficit; balances released after six consecutive months of break-even operations. These escrows can be cash or letters of credit.
- term
- Construction loan period (interest-only), followed by 40-year permanent (fully amortizing) Maximum
- underwriting requirements
- Market Study, Appraisal, Architect/Cost Review, and Phase I Environmental (Phase II if necessary); PCNA (substantial rehab); CPA-reviewed borrower financials or last fiscal year (substantial rehab)
“V022526 arbor.com | 800.ARBOR.10 FHA ® 221(d)(4) New Construction and Substantial Rehab Arbor provides FHA-insured, long-term, fixed-rate financing for new construction or substantial rehabilitation of multifamily projects nationwide. Applications are typically processed in two stages: preliminary application, followed by firm application. Affordable transactions and HUD-experienced development teams may request a “straight to firm” application, saving significant time by eliminating the preliminary application stage. Loan Term and Amortization Construction loan period (interest-only), followe”
FHA 221d4 022526 ↗FHA 223A7
Arbor Realty Trust · indexed
- amortization
- Remaining term of the existing HUD loan plus up to 12 years (subject to HUD approval); term cannot exceed the lesser of original term of the existing loan or 75% of the remaining useful life of the project; loan is fully self - amortizing .
- fees
- N egotiable HUD Application Fee 0.15% of the new loan amount paid to HUD with Firm Commitment Application HUD Inspection Fee Not applicable Legal/Closing Fee Borrower pays Arbor’s counsel fee and miscellaneous closing costs Repairs Repairs approved by HUD can be funded by mortgage proceeds with 10% completion assurance escrow; repairs are limited to $1,500 per unit .
- loan amount
- No cash - out; new loan amount is the lowest of: 1. Original principal balance of existing loan; 2. 100% of the costs to refinance (current principal balance plus transaction costs, repairs, and deposits to replacement reserves); or 3. Minimum debt service coverage of 1.11x (1.05x for Section 8 contracts on at least 90% of units) .
- prepayment
- Typically 10% year 1, declining 1% per year; other prepayment options available subject to market conditions Assumable Subject to Arbor and HUD approval and payment of assumption fee Good Faith Deposit Negotiable based on loan size
- pricing
- Fixed rate subject to market conditions at time of rate lock
- property types
- Multifamily projects or healthcare facilities currently insured under Sections 220, 221(d), 223(f), 232, 241, and 242 Ineligible Properties • Risk Share Mortgages • Co- insured Mortgages • Section 202 Loans and other HUD - held mortgages (other than those subject to debt restructuring under MAHRA)
- reserves
- Yes , sufficient to cover Arbor’s expenses and third - party report costs
- sponsor requirements
- Single asset entity (for - profit or non - profit) Cash- Out Not allowed Escrows Monthly deposits to the escrows are required for property insurance, real estate taxes, reserves for replacement (minimum $250 / unit / year), and mortgage insurance premiums R ecourse Non- recourse
- term
- a nd
- underwriting requirements
- New Property Condition Needs Assessment (PCNA) required if last report is over three years old; HUD Environmental Assessment (HEROS) report
“V022526 arbor.com | 800.ARBOR.10 FHA ® 223(a)(7) Refinance o f Existing HUD- Insured Loan Arbor provides streamlined refinancing of existing FHA - insured loans nationwide. Refinance costs, such as prepayment, are included. Loan Term a nd Amortization Remaining term of the existing HUD loan plus up to 12 years (subject to HUD approval); term cannot exceed the lesser of original term of the existing loan or 75% of the remaining useful life of the project; loan is fully self - amortizing . Loan Amount No cash - out; new loan amount is the lowest of: 1. Original principal balance of existing loan”
FHA 223a7 022526 ↗FHA 223F
Arbor Realty Trust · indexed
- amortization
- Up to 35 years, not to exceed 75% of the remaining economic life (fully amortizing)
- dscr
- 1.15x for market rate developments; 1.11x for affordable developments (less than 90% rental assistance or LIHTC income restrictions) or broadly affordable properties (90% or greater rental assistance, or affordable LIHTC income restrictions (and rents 10% below market rates)
- fees
- Negotiable HUD Application Fee Nonrefundable fee of $3 per $1,000 (0.3%) of the mortgage amount due to HUD upon application submission HUD Inspection Fee $30 per unit when repairs are less than $3,000 per unit; if greater than $3,000 per unit, 1% of the total cost of the repairs Legal/Closing Fee Borrower pays Arbor’s counsel fee and miscellaneous closing costs
- loan purpose
- Cash- out allowed when 80% of value exceeds existing debt plus transaction costs, but only 50% of the net cash will be released at closing; remaining 50% will be held in escrow until all required repairs are completed; potential waiver is available to reduce holdback to 25%
- ltv
- 87% for market rate developments; 90% for affordable developments (less than 90% rental assistance or LIHTC income restrictions) or broadly affordable properties (90% or greater rental assistance, or affordable LIHTC income restrictions (and rents 10% below market rates)
- prepayment
- Typically, 10% year one, declining 1% per year; other prepayment options available subject to market conditions
- pricing
- Fixed- rate subject to market conditions at time of rate lock
- property types
- Existing multifamily projects; n ewly built or substantially rehabilitated properties (with certificates of occupancy less than 3 years prior to application); detached structures and row houses; market- rate, low -to-moderate income, and subsidized multifamily properties
- recourse
- Non-recourse
- reserves
- Monthly deposits required for taxes, insurance, replacement reserves (minimum $250/unit/year), and mortgage insurance premiums
- sponsor requirements
- Single asset entity (for - profit or non - profit)
- term
- Up to 35 years, not to exceed 75% of the remaining economic life (fully amortizing)
- underwriting requirements
- Average 85% occupancy for the six months prior to HUD application submission; maximum economic underwriting occupancy of: • 93% for market - rate properties (i.e., at least 20% market - rate units, or LIHTC whose rents are less than 10% below market) • 95% for LIHTC restrictions on at least 80% of units at rents at least 10% below market • 97% for properties having at least 90% rental assistance, or 90% LIHTC- set aside with rents at least 10% below market
“V022526 arbor.com | 800.ARBOR.10 FHA ® 223(f) Refinance, Acquisition, or Moderate Renovation Arbor provides FHA-insured, long- term, fixed - rate financing for refinance, acquisition , or moderate renovation of multifamily projects nationwide. Arbor uses the single - stage Multifamily Accelerated Processing (MAP) program to expedite underwriting and approval. Loan Term and Amortization Up to 35 years, not to exceed 75% of the remaining economic life (fully amortizing) Minimum DSCR 1.15x for market rate developments; 1.11x for affordable developments (less than 90% rental assistance or LIHTC in”
FHA 223f 022526 ↗FHA 223F Refinance Section 202
Arbor Realty Trust · indexed
- amortization
- Up to 35 years (fully amortizing)
- dscr
- 1.11x
- fees
- Negotiable H UD Application Fee Non - refundable fee of $3 per $1,000 (0.3%) of the mortgage amount due to HUD upon application submission H UD Inspection Fee $30 per unit when repairs are less than $3,000 per unit; if greater than $3,000 per unit, 1% of the total cost of the repairs Legal/Closing Fee Borrower pays Arbor’s counsel fee and miscellaneous closing costs
- loan purpose
- Repairs cannot exceed $19,293 per unit (adjusted for local high - cost factor and number of project units); inclusive of soft costs. Davis - Bacon Not applicable to this program
- ltv
- / Purchase Price Up to 90% Fixed - Rate Yes
- prepayment
- Negotiable; generally, two- year lockout with a 10% to 1% declining prepayment penalty; other prepayment options available Assumable Subject to Arbor and HUD approval and payment of assumption fee Good Faith Deposit Based on project type and loan size
- property types
- Existing Section 202 projects
- recourse
- Nonrecourse, subject to HUD Regulatory Agreement Commercial Space Maximum 25% of net rentable area and maximum 20% of effective gross income; 10% vacancy applied
- reserves
- Monthly deposits required
- sponsor requirements
- Single asset entity (for - profit or non - profit) Developer Fee Up to 15% of the acceptable development cost
- term
- Up to 35 years (fully amortizing)
- underwriting requirements
- Appraisal, Project Capital Needs Assessment (PCNA), and Phase I Environmental
“V022526 arbor.com | 800.ARBOR.10 FHA ® 223(f) Refinance of HUD Section 202 Properties Arbor provides FHA-insured, long- term, fixed - rate financing for refinance , or moderate renovation of existing Section 202 projects nationwide. Arbor uses the single - stage Multifamily Accelerated Processing (MAP) program to expedite underwriting and approval. Loan Term and Amortization Up to 35 years (fully amortizing) Minimum DSCR 1.11x Maximum LTV / Purchase Price Up to 90% Fixed - Rate Yes Eligible Properties Existing Section 202 projects Eligible Borrower Single asset entity (for - profit or non - pr”
FHA 223f Refinance Section 202 022526 ↗FHA 231
Arbor Realty Trust · indexed
- amortization
- Construction loan period (interest - only), followed by 40 - year permanent (fully amortizing); term not to exceed 75% of economic life Maximum
- fees
- Negotiable HUD Application Fee Non refundable; 0.3% of the loan amount; 0.15% of the loan amount due to HUD at pre - application submission; 0.15% at firm application
- loan amount
- The lesser of: 1. 85% of total eligible development costs (for market rate); 87% for LIHTC restricted; 90% for properties with at least 90% rental assistance; development cost includes value of land for new construction and as - is value of property for substantial rehabilitation; 2. FHA mortgage statutory per unit limits, adjusted for local high - cost factor; or 3. An amount that achieves a minimum debt service coverage: a) 1.176x DSC for market rate properties; b) 1.15x DSC for LIHTC - restricted; and c) 1.11x DSC for properties having at least 90% rental assistance.
- loan purpose
- Repairs must exceed $19,293 per unit (adjusted for local high - cost factor and number of project units); inclusive of soft costs . Davis-Bacon Davis - Bacon labor standards and wage requirements apply to construction and rehab work HUD Mortgage Insurance Premium (MIP) Upfront MIP: 0.25%; Annual MIP rate: 0.25%
- prepayment
- Typically, 10% year one, declining 1% per year; other prepayment options available subject to market conditions Assumable Subject to Arbor and HUD approval and payment of assumption fee Good Faith Deposit Based on project type and loan size
- property types
- New construction or substantial rehabilitation for age - restricted properties (tenants limited to 62 years and over)
- recourse
- Non- recourse – construction and permanent Commercial Space Maximum 25% of gross floor area and maximum 30% of effective gross income
- reserves
- Monthly deposits required
- sponsor requirements
- Single asset entity (fo r- profit or non - profit) Underwriting Occupancy Maximum economic underwriting occupancy of: • 93% for market -r ate properties (i.e., at least 20% market rate units, or LIHTC whose rents are less than 10% below market rents) • 95% for LIHTC - restrictions on at least 80% of units at rents at least 10% below market • 97% for properties having at least 90% rental assistance, or in - place rehabs with at least 90% occupancy and 90% LIHTC - restricted at rents at least 10% below market
- term
- a nd
- underwriting requirements
- Market Study, Appraisal, Architect/Cost Review, and Phase I Environmental; CPA reviewed financial or last fiscal year (sub rehab)
“V022526 arbor.com | 800.ARBOR.10 FHA ® 231 Age- Restricted New Construction/ Sub Rehab Arbor provides FHA-insured, long- term, fixed - rate financing for new construction or substantial rehabilitation of seniors apartments restricted to age 62 and above. Applications are typically processed in two stages (preliminary application followed by firm application). HUD - experienced development teams may request “straight to firm” application, saving significant time by eliminating the preliminary application stage. Loan Term a nd Amortization Construction loan period (interest - only), followed by ”
FHA 231 022526 ↗FHA 231 Seniors Construction And Permanent
Arbor Realty Trust · indexed
- loan amount
- None • Market Rate, Affordable and Rental Assistance Properties • New Construction, Rehabilitation and Adaptive Reuse Developments • Tax-exempt bond structures on LIHTC deals QUESTIONS? PLEASE CONTACT YOUR ARBOR REPRESENTATIVE FOR SPECIFIC TERMS, CONDITIONS AND DETAILS. *With standard exceptions for fraud and misrepresentation. A-387
“800.ARBOR.10 | arbor.com Construction and Permanent Seniors Housing Financing in One Loan Product FHA 231”
FHA 231 Seniors Construction and Permanent ↗FHA 232
Arbor Realty Trust · indexed
- amortization
- Construction loan period (interest-only), followed by 40-year permanent (fully amortizing) Maximum Loan Determined by the lowest of: 1. 90% of HUD replacement cost 2.
- dscr
- 1.45x Fixed Rate Yes, construction and permanent
- ltv
- • SNF/ILU: 80% (for-profit), 85% (non-profit) • New construction ALF/MC: 75% (for-profit), 80% (non-profit) • Sub rehab ALF/MC: 80% (for-profit), 85% (non-profit) 3.
- prepayment
- Typically 10% year one, declining 1% per year; other prepayment options available subject to market conditions Assumable Subject to Arbor and HUD approval and payment of assumption fee Good Faith Deposit Negotiable based on project type
- property types
- New construction or substantial rehabilitation of assisted living; memory care; and intermediate, skilled nursing facilities, or combination thereof: • Maximum processing occupancy of 95% • Commercial space cannot exceed 10% of gross floor area or 15% of gross income • Independent living units cannot exceed 25% of total units in the project (up to 30% if waiver is granted) Ineligible Properties Life-care fee CCRC; LTAC (long-term acute care), adult daycare, or currently in bankruptcy
- recourse
- Non-recourse, subject to HUD Regulatory Agreement Commercial Space Maximum 10% of gross floor area and maximum 15% of gross potential income; 20% vacancy rate applied (daycare space is not considered commercial)
- reserves
- Monthly deposits required
- sponsor requirements
- Single-asset entity (for-profit or non-profit) Ineligible Borrower Owner, operator, or any affiliates currently in bankruptcy, or filed/emerged from bankruptcy within prior five years Experience Owners, operators/management agents must demonstrate a successful track record commensurate with developing or rehabbing properties of similar type, size and complexity; an owner-operator must have at least three years’ ownership and operating experience; SNF administrators must also have three years of experience
- term
- Construction loan period (interest-only), followed by 40-year permanent (fully amortizing) Maximum Loan Determined by the lowest of: 1. 90% of HUD replacement cost 2.
- underwriting requirements
- Market Study, Appraisal, Architect Review of Construction Costs and Drawings and Phase I Environmental
“V022526 arbor.com | 800.ARBOR.10 FHA ® 232 Healthcare New Construction and Substantial Rehab Arbor provides FHA-insured, long-term, fixed-rate financing for new construction, or substantial rehabilitation of assisted living, congregate care, and nursing home facilities nationwide. Arbor uses the LEAN program to expedite underwriting and approval. Applications may be processed either as single-stage (firm application), or two-stage (preliminary application, followed by firm application). Loan Term and Amortization Construction loan period (interest-only), followed by 40-year permanent (fully am”
FHA 232 022526 ↗FHA 232 223A7
Arbor Realty Trust · indexed
- amortization
- Remaining term of the existing loan plus up to 12 years (subject to HUD approval); term cannot exceed the original term of the existing loan; loan is fully amortizing through the term of the loan
- fees
- Negotiable HUD Application Fee 0.15% of the new loan amount paid to HUD with HUD application HUD Inspection Fee Not applicable Legal/Closing Fee Borrower pays Arbor’s counsel fee and miscellaneous closing costs Repairs Repairs approved by HUD can be funded by mortgage proceeds with 10% completion assurance required from owner; repairs limited to $1,500 per unit Davis-Bacon Not applicable to this program HUD Mortgage Insurance Premium (MIP) 0.25% up front; 0.25% annually V022526 arbor.com | 800.ARBOR.10
- loan amount
- No cash-out; new loan amount is the lowest of: 1. Original principal balance of existing loan 2. 100% of the costs to refinance (current principal balance plus transaction costs, repairs and deposits to replacement reserves) 3. Minimum debt service coverage of 1.11
- loan purpose
- Not allowed
- prepayment
- Typically 10% year one, declining 1% per year; other prepayment options available subject to market conditions Assumable Subject to Arbor and HUD approval and payment of assumption fee Good Faith Deposit Based on property type and loan size
- pricing
- Fixed rate subject to market conditions at time of rate lock
- property types
- Healthcare facilities currently insured under Sections 232 and 232/223f
- recourse
- Non-recourse
- reserves
- Monthly deposits to the escrows are required for property insurance, real estate taxes, reserves for replacement, and mortgage insurance premiums
- sponsor requirements
- Single-asset entity (for-profit or non-profit)
- term
- Remaining term of the existing loan plus up to 12 years (subject to HUD approval); term cannot exceed the original term of the existing loan; loan is fully amortizing through the term of the loan
- underwriting requirements
- New Property Condition Needs Assessment (PCNA) required if last report is over two years old
“FHA ® 232/223(a)(7) Refinancing HUD-Insured Healthcare Loans Arbor provides streamlined refinancing of existing FHA-insured loans nationwide. Refinance costs, such as prepayment, are included. Loan Term and Amortization Remaining term of the existing loan plus up to 12 years (subject to HUD approval); term cannot exceed the original term of the existing loan; loan is fully amortizing through the term of the loan Loan Amount No cash-out; new loan amount is the lowest of: 1. Original principal balance of existing loan 2. 100% of the costs to refinance (current principal balance plus transaction ”
FHA 232 223a7 022526 ↗FHA 232 Healthcare Construction And Rehab
Arbor Realty Trust · indexed
- loan amount
- None • New Construction, Rehabilitation and Adaptive Reuse Developments • Independent living cannot exceed 25% of total units in project (up to 30% with waiver) QUESTIONS? PLEASE CONTACT YOUR ARBOR REPRESENTATIVE FOR SPECIFIC TERMS, CONDITIONS AND DETAILS. *With standard exceptions for fraud and misrepresentation. A-387
“800.ARBOR.10 | arbor.com Construction and Permanent Healthcare Financing in One Loan Product FHA 232”
FHA 232 Healthcare Construction and Rehab ↗FHA 232 Pursuant 223F
Arbor Realty Trust · indexed
- amortization
- A maximum term of 35 years or 75% of the remaining economic life, fully amortizing Maximum Loan Determined by the lowest of: 1. 100% of refi transaction costs 2.
- dscr
- 1.45x Fixed Rate Yes
- ltv
- • SNF/ILU: 80% (for-profit), 85% (non-profit) • Mod rehab ALF/MC: 80% (for profit), 85% (nonprofit) 3.
- prepayment
- Typically 10% year one, declining 1% per year; other prepayment options available subject to market conditions Assumable Subject to Arbor and HUD approval and payment of assumption fee Good Faith Deposit Based on property type and loan size
- property types
- The facility must have been completed or substantially rehabilitated at least three years prior to the date of the application; projects with additions completed fewer than three years prior to HUD application submission are eligible if the additional square footage and number of beds were less than the original project s.f. and bed count Ineligible Properties Life-care-fee CCRC; LTAC (long-term acute care), adult day or currently in bankruptcy
- recourse
- Nonrecourse Commercial Space Maximum 20% of gross floor area and maximum 20% of effective gross income
- sponsor requirements
- Single asset entity (for profit or nonprofit); three years’ ownership experience Ineligible Borrower Owner, operator or any affiliates currently in bankruptcy, or filed/emerged from bankruptcy within prior five years Experience Owners, operators/management agents must demonstrate a successful track record commensurate with properties of similar type, size and complexity; an owner-operator must have at least three years’ ownership and operating experience; SNF administrators must also have three years of experience Cash Out Not allowed; however, may refinance prior cash-out loan, subject to varying debt seasoning requirements (0 – 2 years seasoning) Tax and Insurance Escrow Monthly deposits required
- term
- A maximum term of 35 years or 75% of the remaining economic life, fully amortizing Maximum Loan Determined by the lowest of: 1. 100% of refi transaction costs 2.
- underwriting requirements
- Appraisal, Property Capital Needs Assessment (PCNA) and Phase I Environmental
“V022526 arbor.com | 800.ARBOR.10 FHA ® 232/223(f) Healthcare Refinance, Acquisition or Mod Rehab Arbor provides FHA-insured, long-term, fixed-rate financing for refinance, acquisition or moderate renovation of assisted living and nursing facilities nationwide. Arbor uses the single-stage LEAN program to expedite underwriting and approval. Loan Term and Amortization A maximum term of 35 years or 75% of the remaining economic life, fully amortizing Maximum Loan Determined by the lowest of: 1. 100% of refi transaction costs 2. Maximum LTV • SNF/ILU: 80% (for-profit), 85% (non-profit) • Mod rehab ”
FHA 232 Pursuant 223f 022526 ↗FHA 232 Pursuant 223F7
Arbor Realty Trust · indexed
- amortization
- A maximum term of 35 years or 75% of the remaining economic life, fully amortizing Maximum Loan Determined by the lowest of: 1. 100% of refi transaction costs 2.
- dscr
- 1.45x Fixed Rate Yes
- fees
- Negotiable HUD Application Fee Nonrefundable fee of $3 per $1,000 (0.3%) of the mortgage amount due to HUD with the firm commitment submission package
- loan purpose
- Not allowed; however, may refinance prior cash-out loan, subject to varying debt seasoning requirements (0 – 2 years seasoning)
- ltv
- • SNF/ILU: 80% (for-profit), 85% (non-profit) • Mod rehab ALF/MC: 80% (for-profit), 85% (non-profit) 3.
- prepayment
- Typically 10% year one, declining 1% per year; other prepayment options available subject to market conditions Assumable Subject to Arbor and HUD approval and payment of assumption fee Good Faith Deposit Based on property type and loan size
- property types
- The facility must have been completed or substantially rehabilitated at least three years prior to the date of the application; projects with additions completed fewer than three years prior to HUD application submission are eligible if the additional square footage and number of beds were less than the original project s.f. and bed count Ineligible Properties Life-care fee CCRC; LTAC (long-term acute care), adult day care, or currently in bankruptcy
- recourse
- Non-recourse Commercial Space Maximum 20% of gross floor area and maximum 20% of effective gross income
- reserves
- Monthly deposits required
- sponsor requirements
- Single-asset entity (for-profit or non-profit); three years’ ownership experience Ineligible Borrower Owner, operator, or any affiliates currently in bankruptcy, or filed/emerged from bankruptcy within prior five years Experience Owners, operators/management agents must demonstrate a successful track record commensurate with properties of similar type, size and complexity; an owner-operator must have at least three years’ ownership and operating experience; SNF administrators must also have three years of experience
- term
- A maximum term of 35 years or 75% of the remaining economic life, fully amortizing Maximum Loan Determined by the lowest of: 1. 100% of refi transaction costs 2.
- underwriting requirements
- Appraisal, Property Capital Needs Assessment (PCNA), and Phase I Environmental
“V030419 arbor.com | 800.ARBOR.10 FHA ® 232/223(f) Healthcare Refinance, Acquisition, or Mod Rehab Arbor provides FHA-insured, long-term, fixed-rate financing for refinance, acquisition or moderate renovation of assisted living and nursing facilities nationwide. Arbor uses the single-stage LEAN program to expedite underwriting and approval. Loan Term and Amortization A maximum term of 35 years or 75% of the remaining economic life, fully amortizing Maximum Loan Determined by the lowest of: 1. 100% of refi transaction costs 2. Maximum LTV • SNF/ILU: 80% (for-profit), 85% (non-profit) • Mod rehab”
fha 232 pursuant 223f7 ↗FHA 241A
Arbor Realty Trust · indexed
- amortization
- Fully amortizing Maximum
- loan amount
- Will be the lessor of: • 90% loan to cost; • 90% loan to value; or • 1.11 debt service coverage ratio (combined first and second) If combination of existing first mortgage and the new supplemental loan exceeds the large loan threshold, then large loan parameters would apply. Rates Fixed rat e
- prepayment
- Typically , 10% year one, declining 1% per year; other prepayment options available subject to market conditions Assumable Subject to Arbor and HUD approval and payment of assumption fee HUD Mortgage Insurance Premium (MIP) MIP rate: 0.25% upfront and 0.25% annually Davis-Bacon Not a pplicable, unless the original underlying HUD-insured first mortgage was subject to Davis-Bacon
- property types
- Apartment properties and healthcare facilities with an existing HUD - insured first mortgage
- recourse
- Non- recourse, subject to HUD Regulatory Agreement
- sponsor requirements
- The same single -asset entity as the existing HUD - insured first mortgage (non - profit entities eligible)
- term
- Generally co- terminus with the HUD first mortgage
“V022526 arbor.com | 800.ARBOR.10 FHA ® 241(a) Supplemental Loan for Repairs, Additions, or Improvements to HUD First Mortgage Properties HUD-I nsured second mortgage provided by Arbor to finance repairs, additions, and improvements to multifamily properties and healthcare facilities with an existing HUD - insured first mortgage. Loan Term Generally co- terminus with the HUD first mortgage Amortization Fully amortizing Maximum Loan Amount Will be the lessor of: • 90% loan to cost; • 90% loan to value; or • 1.11 debt service coverage ratio (combined first and second) If combination of existing f”
FHA 241a 022526 ↗FHA 242 242 223F 242 223A7
Arbor Realty Trust · indexed
- amortization
- Fully amortizing Fixed Rate Fixed rate for the full term of the mortgage Operations and Lien Priority • Greater than 50% acute - care patient days • First lien on hospital real estate and accounts receivable HUD Inspection Fee • 242 and 242/241a programs: 0.5% of CRRE • 242/223f and 223a7 programs: varies between 0.1% and 0.4% depending on CRRE Mortgage Reserve Fund 0.2% of loan amount escrowed each year during years 1 - 10 of the loan term HUD Mortgage Insurance Premium (MIP) 0.25% upfront; 0.25% annually
- fees
- Negotiable HUD Application Fee A commitment fee that, when added to the application fee, will aggregate $3 per $1,000 (.03%) of the amount of the loan set forth in the HUD commitment and will be paid within 30 days of the date of issuance of the commitment; if such fee is not paid within this 30 - day period, the commitment will automatically terminate Legal/Closing Fee Borrower pays Arbor’s counsel fee and miscellaneous closing costs Davis-Bacon Davis - Bacon wage requirements apply to new construction and/or sub - rehabilitation; not required on repairs pursuant to 242/223(f) or 242/223a7
- prepayment
- Typically 10 - year lockout, then prepayable at par
- recourse
- Non - recourse, subject to HUD Regulatory Agreement
- reserves
- Yes , sufficient to cover Arbor’s expenses and third - party report costs
- underwriting requirements
- Study of market need and financial feasibility, Phase I Environmental, and Appraisal
“V022526 arbor.com | 800.ARBOR.10 FHA ® 242 Acute Care Hospital Facilities Arbor provides FHA- insured loans for acute care hospital facilities ranging from large teaching institutions to small rural critical access hospitals. The FHA helps hospitals access affordable financing for capital projects. Uses include new construction, refinancing, modernization, remodeling, equipment, and expansion. Loan Terms Varies by program (see Program Selection Criteria below) Program Selection Criteria 242: New construction, or rehab/addition of existing hospital • At least 20% of loan amount used for constru”
FHA 242 242 223f 242 223a7 022526 ↗FHA Interest Rate Reduction IRR
Arbor Realty Trust · indexed
- amortization
- Term of the original mortgage; loan will be re-amortized at the new interest rate
- fees
- Negotiable HUD Application Fee No application fee Rate Lock Deposit 0.5%, credited at closing HUD Inspection Fee Not applicable Legal/Closing Fee Closing costs along with prepayment penalties may be paid from premium
- loan amount
- New loan amount is equal to the unpaid principal balance of the existing mortgage at the time of closing
- loan purpose
- Not allowed
- prepayment
- Negotiable, but typically closed for 1-2 years then open to prepayment with a penalty of 8% of the outstanding loan balance, declining 1% per year to 0% in year 11 Timing Typically 45-60 days
- pricing
- Reduction (IRR) Refinance of Existing HUD-Insured Loan Arbor provides this program to reduce the interest rate on qualified existing HUD-insured multifamily loans. The HUD-insured loan remains in place, with reduced payments based on the new rate, the current balance, and the remaining term. The existing prepayment penalty must be paid in full.
- property types
- Multifamily and healthcare properties that currently have FHA-insured loans with Arbor in the role of Servicer
- recourse
- Non-recourse, subject to HUD Regulatory Agreement
- reserves
- Monthly deposits to the escrows are required for property insurance, real estate taxes, reserves for replacement and mortgage insurance premiums
- term
- Current term of the mortgage must remain in place; no term extension available
- underwriting requirements
- New Property Condition Needs Assessment (PCNA) required if the project’s final endorsement was more than 10 years from the date of the IRR request or if the current PCNA is older than 10 years Good Faith Deposit Negotiable based on loan size
“V041624 arbor.com | 800.ARBOR.10 FHA ® Interest Rate Reduction (IRR) Refinance of Existing HUD-Insured Loan Arbor provides this program to reduce the interest rate on qualified existing HUD-insured multifamily loans. The HUD-insured loan remains in place, with reduced payments based on the new rate, the current balance, and the remaining term. The existing prepayment penalty must be paid in full. Eligible Properties Multifamily and healthcare properties that currently have FHA-insured loans with Arbor in the role of Servicer Cash-Out Not allowed Tax and Insurance Escrows Monthly deposits to th”
FHA Interest Rate Reduction IRR 020224 04 ↗FHA Multifamily
Arbor Realty Trust · indexed
- geography
- Careers Alex Login About Our Brand Our Responsibility Executive Team Management Team Senior Team Originations Team Careers In-House Loan Servicing Loan Programs Fannie Mae Freddie Mac Bridge Small Loans Arbor Private Construction Arbor Private Label Affordable Housing FHA Multifamily Single-Family Rental (SFR) Financing Mezzanine/Preferred Equity Green Financing Workforce Housing Financing Arbor Loan Express (ALEX) Research Articles Reports Investor Relations Info & Resources In the News Success Stories Recent Closings Borrower FAQs Contact Us Request a Quote Stay Updated Office
- pricing
- Reduction (IRR) FHA 232/223(f)
Fannie Mae
Arbor Realty Trust · indexed
- geography
- Careers Alex Login About Our Brand Our Responsibility Executive Team Management Team Senior Team Originations Team Careers In-House Loan Servicing Loan Programs Fannie Mae Freddie Mac Bridge Small Loans Arbor Private Construction Arbor Private Label Affordable Housing FHA Multifamily Single-Family Rental (SFR) Financing Mezzanine/Preferred Equity Green Financing Workforce Housing Financing Arbor Loan Express (ALEX) Research Articles Reports Investor Relations Info & Resources In the News Success Stories Recent Closings Borrower FAQs Contact Us Request a Quote Stay Updated Office
Fannie Mae Choice Refinance
Arbor Realty Trust · indexed
- geography
- Careers Alex Login About Our Brand Our Responsibility Executive Team Management Team Senior Team Originations Team Careers In-House Loan Servicing Loan Programs Fannie Mae Freddie Mac Bridge Small Loans Arbor Private Construction Arbor Private Label Affordable Housing FHA Multifamily Single-Family Rental (SFR) Financing Mezzanine/Preferred Equity Green Financing Workforce Housing Financing Arbor Loan Express (ALEX) Research Articles Reports Investor Relations Info & Resources In the News Success Stories Recent Closings Borrower FAQs Contact Us Request a Quote Stay Updated Office
“The small multifamily sector entered 2026 on a strong note, even as lending conditions remained shaped by persistently high interest rates and regulatory uncertainties. LOAD MORE --> / Prev Next General: 800.ARBOR.10 | Financing: 833.578.7554 | Servicing: 877.952.7267 Request a Quote Office Locations Careers Alex Login About Our Brand Our Responsibility Executive Team Management Team Senior Team Originations Team Careers In-House Loan Servicing Loan Programs Fannie Mae Freddie Mac Bridge Small Loans Arbor Private Construction Arbor Private Label Affordable Housing FHA Multifamily Single-Family”
Choice Refinance - Arbor Realty ↗Fannie Mae Coop Apt Financing
Arbor Realty Trust · indexed
- amortization
- Up to 30 years
- dscr
- 1.00x for Actual Cooperative Property operations and 1.55x for Cooperative Market Rental operations Property Considerations • The property management company is required to have experience with cooperative properties of like size and market • Operating Reserve balance must be equal to or greater than 10% of annual maintenance fees • Maintenance fees must be sufficient to achieve a balanced budget • High levels of ownership by one sponsor or investor (in excess of 40%) will require additional due diligence Supplemental Financing Supplemental Mortgage Loans are available.
- ltv
- 55% (on a market rental basis)
- prepayment
- Availability Loans may be voluntarily prepaid upon payment of yield maintenance. Rate Lock 30- to 180-day commitments. Borrowers may use the Streamlined Rate Lock option provided that the Board of Directors or managers of the cooperative organization approve any increase in the Cooperative Maintenance Fee prior to using the Streamlined Rate Lock option.
- pricing
- Fixed-rate
- recourse
- Non-recourse execution is available with standard carve-outs for “bad acts” such as fraud and bankruptcy Escrows Replacement reserves, tax, and insurance escrows may be required; Escrows are typically required for a Limited Equity Cooperative Property Third-Party Reports Standard third-party reports required, including Appraisal, Phase I Environmental Site Assessment, and Property Condition Assessment Assumption Mortgage loans secured by a cooperative property are typically not assumable by another entity
“V041425 arbor.com | 800.ARBOR.10 Fannie Mae DUS® Cooperative Apartment Financing Arbor’s Cooperative Apartment Financing program provides blanket mortgage financing for cooperative multifamily housing. Benefits • Flexible loan terms • Competitive pricing • Certainty and speed of execution • Customized solutions Eligibility • Existing stabilized cooperative properties in eligible cooperative property markets • Cooperative corporations with strong management and solid operating history • Limited equity cooperative properties for low- and moderate-income families are also eligible • Overall prope”
Fannie Mae Coop Apt Financing 041425 ↗Fannie Mae DUS Standard
Arbor Realty Trust · indexed
- amortization
- Up to 30 years.
- dscr
- Varies by asset class and product type. Varies by asset class and product type. Property Considerations Properties must have stabilized occupancy (typically 90%) for 90 days prior to funding. Loan commitments for pre-stabilized properties will be considered on a case-by-case basis. Supplemental Financing Supplemental loans are available.
- ltv
- Minimum
- prepayment
- Availability Flexible prepayment options available including yield maintenance and declining prepayment premium. Rate Lock 30- to 180-day commitments. Borrowers may lock a rate with the Streamlined Rate Lock option. Accrual 30/360 and Actual/360.
- pricing
- Fixed- and variable-rate options available.
- recourse
- Non-recourse execution is available with standard carve-outs for “bad acts” such as fraud and bankruptcy.
“V041425 arbor.com | 800.ARBOR.10 Fannie Mae DUS® Standard Arbor provides competitive, tiered pricing for acquisition or refinance of multifamily projects nationwide, including recently completed projects. Benefits • Flexible loan terms • Competitive pricing • Certainty of execution • Speed in processing and underwriting Eligibility • Existing, stabilized Conventional Properties, Multifamily Affordable Housing Properties, Seniors Housing Properties, Student Housing Properties, and Manufactured Housing Communities • Properties with a minimum of five units (50 pad sites for Manufactured Housing C”
Fannie Mae DUS Standard 041425 1 ↗Fannie Mae Green Rewards
Arbor Realty Trust · indexed
- dscr
- Varies by product type
- loan amount
- No minimum or maximum
- ltv
- and
- prepayment
- Availability Flexible prepayment options available, including yield maintenance and declining prepayment premium. Mortgage Loans may be voluntarily prepaid upon payment of the required prepayment premium per the Loan Documents. Rate Lock 30- to 180-day commitments. Borrowers may use the Streamlined Rate Lock option. If Fannie Mae approval of the High-Performance Building Report is required, the HPB Report must be approved by Fannie Mae at least five days prior to Rate Lock. The Technical Solar Assessment must be submitted for Fannie Mae approval at least 10 days prior to rate lock. Accrual 30/360 and Actual/360
- pricing
- Fixed- and variable-rate options available
“V042826 arbor.com | 800.ARBOR.10 Interest Rate Fixed- and variable-rate options available Loan Amount No minimum or maximum Maximum LTV and Minimum DSCR Varies by product type Prepayment Availability Flexible prepayment options available, including yield maintenance and declining prepayment premium. Mortgage Loans may be voluntarily prepaid upon payment of the required prepayment premium per the Loan Documents. Rate Lock 30- to 180-day commitments. Borrowers may use the Streamlined Rate Lock option. If Fannie Mae approval of the High-Performance Building Report is required, the HPB Report must”
Fannie Mae Green Rewards 042826 ↗Fannie Mae MAH
Arbor Realty Trust · indexed
- amortization
- Up to 35 years
- dscr
- 1.20x (fixed-rate) Property Considerations Low-income qualifying restrictions required and must be recorded: • 20% or more units rented to families earning at or below 50% of Area Median Income (AMI) • 40% or more units rented to families earning at or below 60% of AMI; or • Project-Based Housing Assistance Payments contract (Section 8) covering 20% or more units Supplemental Financing Supplemental Loans are available
- ltv
- 80%
- prepayment
- Availability Flexible prepayment options available, including yield maintenance and declining prepayment premium Rate Lock 30- to 180-day commitments; borrowers may lock a rate with the Streamlined Rate Lock option Accrual 30/360 and Actual/360
- pricing
- Fixed- and variable-rate options available
- recourse
- Non-recourse execution with standard carve-outs for “bad acts” such as fraud and bankruptcy Escrows Replacement reserve, tax, and insurance escrows are typically required Third-Party Reports Standard third-party reports required, including Appraisal, Phase I Environmental Site Assessment, and Property Condition Assessment Assumption Loans are typically assumable, subject to review and approval of the new borrower’s financial capacity and experience
“V041425 arbor.com | 800.ARBOR.10 Fannie Mae DUS® Multifamily Affordable Housing Preservation Arbor’s DUS® Multifamily Affordable Housing (MAH) product provides flexible terms for the acquisition or refinance of multifamily projects nationwide that qualify as affordable housing. Eligible properties are those that participate in the Low-Income Housing Tax Credit (LIHTC) program, encumbered by a Housing Assistance Payment (HAP) contract, or participate in the Section 8 program (either through vouchers or direct payments). Other special uses can be considered for MAH status. Benefits • Flexible un”
Fannie Mae MAH 041425 ↗Fannie Mae MBS As Tax Exempt Bond Collateral M.TEB Fixed Rate
Arbor Realty Trust · indexed
- amortization
- Up to 35 years.
- dscr
- 1.15x for 4% LIHTC properties with at least 90% of the units meeting affordability requirements 1.20x for 4% LIHTC properties with fewer than 90% of the units meeting affordability requirements and for refundings • Issuer and Trustee
- fees
- Loan sizing must include underwriting of the Issuer and Trustee Fees; however, Issuer and Trustee
- ltv
- • 90% for 4% LIHTC properties with at least 90% of the units meeting affordability requirements • 85% for 4% LIHTC properties with fewer than 90% of the units meeting • affordability requirements • 80% for refundings
- prepayment
- Availability Flexible pre-payment options available, including yield maintenance and declining prepayment premium.
- pricing
- Arbor’s MBS as Tax-Exempt Bond Collateral (MTEB) –
- recourse
- Non-recourse execution is with standard carve-outs for “bad acts ,” such as fraud and bankruptcy. Escrows Replacement reserve, tax, and insurance escrows typically required. Third-Party Reports Standard third-party reports required, including Appraisal, Phase I Environmental Site Assessment, and Property Condition Assessment.
“V041425 arbor.com | 800.ARBOR.10 Fannie Mae® Mortgage-Backed Securities (MBS) as Tax-Exempt Bond Collateral (MTEB) – Fixed-Rate Arbor’s MBS as Tax-Exempt Bond Collateral (MTEB) – Fixed-Rate issues MBS that can be used as collateral for either (i) existing fixed-rate bond refundings, or (ii) new fixed-rate bond issues in conjunction with 4% Low-Income Housing Tax Credits (LIHTC). Benefits • Faster closings with our unique delegated model • Declining pre-payment options or yield maintenance • Interest-only available • Fannie Mae guaranteed direct pass-through of principal and interest is more at”
Fannie Mae MBS as Tax Exempt Bond Collateral MTEB Fixed Rate 041425 ↗Fannie Mae Manufactured Housing
Arbor Realty Trust · indexed
- amortization
- Up to 30 years
- ltv
- 80%
- prepayment
- Availability Flexible prepayment options are available, including yield maintenance and declining prepayment premium. Mortgage Loans may be voluntarily prepaid upon payment of the required prepayment premium per the Loan Documents. Rate Lock 30 - to 180 - day commitments. Borrowers may use the Streamlined Rate Lock option.
- pricing
- Fixed - and variable - rate options available
- recourse
- Non - recourse execution with standard carve - outs for “bad acts” such as fraud and bankruptcy. Escrows Funding of tax and insurance escrows depend on leverage level. Replacement reserve escrow is typically not required. Third-Party Reports Standard third - party reports required, including Appraisal, Phase I Environmental Site Assessment, and Property Condition Assessment. Assumption Mortgage l oans are typically assumable, subject to review and approval of the new borrower’s financial capacity and experience. Minimum Underwritten Vacancy/ Collection Loss Minimum 5% economic vacancy assumption
“V042826 arbor.com | 800.ARBOR.10 Fannie Mae DUS® Manufactured Housing Community (MHC) Loans Arbor’s Fannie Mae DUS® Manufactured Housing Community (MHC) loans provide competitive pricing and flexible terms and function as a major source of liquidity for affordable housing community owners. Benefits • Customized solutions • Competitive pricing • Certainty of execution • Speed in processing and underwriting Eligibility • Existing, stabilized, professionally managed MHC, with or without age restrictions, having a minimum of 50 pad sites • Quality Level 3, 4, or 5 communities • At least one Key Pr”
Fannie Mae Manufactured Housing 042826 ↗Workspace snapshots refresh every five minutes when the source ledger is available.