Briar Capital Real Estate Fund provided a $6 million real estate loan to a Texas-based metal fabrication and machine shop. The loan consists of a $5 million term loan and a $1 million revolving line of credit, both secured by the company’s real estate as collateral.
The company, like many others, was greatly affected by COVID-19. With projects placed on hold and new work stalled in the bidding phase, the business faced a liquidity crunch. The company sought Briar Capital Real Estate Fund after exhausting the various federal relief programs offered by the U.S. Small Business Administration.
Briar Capital Real Estate Fund’s term loan was utilized to pay off an incumbent bank and the revolving line was used to address payables. With the incumbent bank debt retired and the corresponding all-asset lien removed, the company financed its accounts receivable with a separate lender.