Life Company Loan Terms
| A10 Life Company Loans | A10 has developed relationships with life insurance partners domestically and outside of the United States to provide sponsors with various fixed-rate lending options |
| Life-of-Loan Relationship | A10 is a rated primary servicer and special servicer that will service the loan over its entire life through payoff |
| Streamlined Process | Submission Package → Soft Quote → LOI → Term Sheet → Close/Fund → Servicing |
| Eligible Markets | Nationwide with focus on primary and secondary markets |
| Loan Amount | $10MM - $50MM, larger on a case-by-case basis |
| Property Types | CORE: Multifamily, Industrial, Self-Storage, Single-Tenant Investment Grade CORE+: Student Housing, Mixed Use (Multifamily), and Essential Retail NON-CORE: Hotel |
| Asset Class | Class A and B |
| Vintage | 2000 vintage and newer (case-by-case vintage < 2000) |
| Rate Type | Fixed Rate |
| Loan Terms | 3, 5, 7 and 10-Year |
| Amortization Term | Typically, 30-year amortization. Interest only periods available based on LTV |
| Loan Sizing | 25-Year Amortization; 1.0x DSCR |
| Max LTV | 65.0% |
| Max LTC | 65-70.0% (>70.0% LTC available case-by-case) |
| Min DSCR | Min 1.0x DSCR (25-Year Amortization) |
| Cash Out (Refinance) | Lesser of (i) 85.0% LTC and (ii) 1.20 x Existing Loan Balance |
| Prepayment Penalty | Flexible Prepay – 3-Year: 1-18 (>18 months interest, 1.0%); 19-33-1.0%; 34-36 – Par – 5-Year: 1-30 (>30 months interest, 1.0%); 31-57-1.0%; 58-60 – Par – 7-Year: 1-60 (>60 months interest, 1.0%); 61-81-1.0%; 82-84 – Par – 10-Year: 1-96 (>96 months interest, 1.0%); 97-117-1.0%; 118-120 – Par |
| Reserves | Real estate tax, insurance, replacement reserves, and tenant improvement/leasing commissions (TI/LCs) (if applicable) |
| Origination Fee | 1.0% |
| Recourse | Non-recourse, subject to industry standard “bad boy” carve outs |
| Assumable | No |
| Earnouts | Earnouts based on pro forma; Performance Trigger: T3 Collections, T12 Expenses – <=3 Month Advance from Origination: Sponsor pays negative carry – >3 Month Advance from Origination: Sponsor will not pay negative carry – *Earnouts (case-by-case basis). 12 months max tail on earnouts |
| Stabilizing | UW Revenue: T1 collections, close on a T3 (TS not issued without T1 collections) UW Expenses: Budgeted stabilized expenses |