Boise, ID — Hopkins Financial Services recently closed a $1,250,000 private money loan to help a successful business owner acquire a second industrial property to support his company’s rapid growth. The borrower, an A-credit individual with strong income and proven operations, needed to move quickly—but like many business owners, his cash was tied up in ongoing operations.
Thanks to Hopkins Financial’s flexible private lending model, we made the deal happen by cross-collateralizing the new property with a second industrial property the borrower already owned, unlocking equity that traditional lenders wouldn’t consider as a down payment.
The Borrower’s Challenge: Great Credit, Great Equity—but No Time or Liquid Cash
The borrower had identified an ideal property to expand his industrial operations: a 9,000-square-foot industrial building on 5.66 acres—perfect for scaling his growing business. But there were two key obstacles that conventional banks couldn’t overcome:
- Speed – The seller required a quick close that was simply too fast for a traditional loan to process.
- Liquidity – The borrower had excellent credit and income, but his working capital was tied up in the business. While he didn’t have liquid funds for a traditional down payment, he did have significant equity in an existing property—an industrial building of 13,800 square feet on 0.8 acres.
Most banks wouldn’t consider the equity in the borrower’s other property as a sufficient down payment—particularly not on the accelerated timeline needed to seize the opportunity.
The Hopkins Financial Solution: Cross-Collateralization to Unlock Equity & Fund Growth
Hopkins Financial was able to structure a cross-collateralized loan secured by both industrial properties—the one the borrower already owned and the new acquisition target.
We refinanced the existing debt on the current property and provided enough additional loan proceeds to cover the purchase of the new industrial site. This allowed the borrower to:
- Keep his business cash reserves intact
- Leverage existing equity as a tool for expansion
- Close on time, avoiding delays or risk of losing the deal
The Loan Details
- Loan Amount: $1,250,000
- Collateral: Two industrial properties
- Property A: 13,800 SF on 0.8 acres (existing building)
- Property B: 9,000 SF on 5.66 acres (new purchase)
- Appraised Value (Combined): Over $2,000,000
- Loan-to-Value (LTV): ~62%
- Loan Type: Private money, cross-collateralized, business-purpose
- Close Time: Expedited to meet a time-sensitive opportunity
Why Banks Couldn’t Compete—But Hopkins Could
While most traditional mortgage lenders focus solely on cash down payments and can take 45–90 days to underwrite a loan, Hopkins Financial specializes in equity-based lending with flexible underwriting and fast closings.
By taking a property-first approach and focusing on loan-to-value ratios instead of liquidity alone, we help borrowers turn real estate equity into opportunity.
A Win-Win Outcome
This deal was a perfect example of how private money lending can empower well-qualified business owners to take advantage of time-sensitive deals—without disrupting their business operations or waiting on traditional lenders.
By using cross-collateralization and tapping into existing real estate equity, we helped a strong borrower expand his footprint, preserve working capital, and move forward on his terms.
Need a Flexible Business Expansion Loan?
If you’re a business owner with strong assets but limited liquidity—or if you’re facing tight timelines that traditional banks can’t accommodate—Hopkins Financial can help.
Whether it’s an industrial building, commercial site, or investment property, we offer private money loans that are fast, flexible, and custom-built for borrowers like you.
Let us help you unlock equity, move fast, and seize your next opportunity.
Contact Hopkins Financial Today
We’ve funded over $1 billion in real estate loans and transactions since 1984. From cross-collateralized financing to bridge loans and construction deals, our team knows how to solve problems traditional lenders can’t.
208-467-5467
HopkinsFinancial.com
Serving all of Idaho—and lending nationwide (subject to licensing requirements)
