I have been working with the enclosed entity and the owner. He has bad credit because of a bad business deal he was a part of so he had to get a 50% ltv loan at 15%. His treatment center is appraised at $8.7 M and he has a place on the lake appraised at $2.2M. He has been trying for the past three years to get more standard financing. He has a three year track record of not missing a payment. He just got approved for a full rule 31 license which allows them to not only take people in just the halfway house, which they have been doing, but plus be able to take adolescence, outpatient, detox and extended care which will add $5M-$9M to the bottom line, depending on the occupancy rate, while they currently have the staff already needed so costs would minimally increase.
He is sick of the financing process and has paid tens of thousands of dollars upfront so just wants to retire and sell the places.
Two options 1. I get financing put together for him and pay off the existing hard money loan, which is due now. 2. He is willing to sell everything to me at a big discount of $9.5M if I could figure out financing. I am disabled and my credit is not good.