Kevin Wolfer, CEO of Kennedy Funding
By Joshua Burd
Kennedy Funding has closed on a $1.575 million loan for the owner of a residential development site in northern Virginia to refinance the property.
The direct private lender, which is based in Englewood Cliffs, said the borrower plans to use the loan to pay off an existing first mortgage of $867,590 on land located at 5021 Davis Ford Road in Manassas, Virginia. The property spans some 46 acres that has been approved for construction of single-family homes, Kennedy Funding said, noting that the borrower plans to sell the lots to a national developer.
The lender also noted that its client, Davis Ford Venture LLC, will use the balance of the loan for working capital.
“There are virtually no lenders who will look at an applicant who plans to use a cash-out refinance loan on land, let alone fund the deal,” said Kevin Wolfer, Kennedy Funding’s CEO. “However, Kennedy Funding’s flexibility means that we are willing to read between the lines of a traditional application. We were able to truly assess the merits of this property and see the applicant’s vision.”
Davis Ford Venture acquired the property, which is divided into two tax lots, in 2002 for $1.4 million, according to a news release. Since then, the borrower has received preliminary approval for a residential subdivision for a community of single-family homes to be named Hoadly Falls.
The second parcel, located across the street from Hoadly Falls, is preapproved for 15 single-family homes, each on a .56-acre lot. In announcing the loan, Kennedy Funding noted that Manassas is home to roughly 40,000 residents and is the seat of the Prince William County government.
Major employers include the Manassas Regional Airport, semiconductor manufacturer Micron Technology, Lockheed Martin and the Novant Prince William Health System.
“The applicant came to us with a concrete plan for the property, as well as a track record of remaining current on their current mortgage payments,” Wolfer said. “With that in mind, we were able to fund the loan.”
The parcels sit immediately off Prince William Parkway, a major county thoroughfare that connects directly to Interstate 95, the news release said. One of the properties is adjacent to the Shops at County Center, which has several restaurants and professional services and is anchored by a 24-hour Harris Teeter grocery store.
The proposed Hoadly Falls is also minutes from golf courses, a BMX track and the PWC Stadium Complex that is home to the Potomac Nationals, a minor league baseball team.
“This property is at the center of a thriving middle-class city, with many opportunities to live, work and play,” Wolfer said. “New housing so close to employers, shopping and recreation is sure to succeed.”
