Separate a Smaller Refinance From the Improvements It Was Meant to Fund

By Don McClain | Founder & Principal, Medro Advisors A smaller refinance can close without funding the intended improvements. First reconcile gross proceeds against documented payoffs, costs, reserves and use restrictions. Then assign usable cash to complete work packages. If interior work depends on a roof repair, removing the roof cost may create rework rather than savings. Obtain revised scopes and revisit rent assumptions tied to deferred work. Fast Commercial Capital invites owners to bring the closing reconciliation and improvement dependencies. Proposed proceeds are not verified available cash.