Manhattan Bridge Capital, Inc · NASDAQ:LOAN
Manhattan Bridge Capital — Investor Presentation (July 2021)
16 slides from Manhattan Bridge Capital's investor presentation, Jul 6, 2021
Slide 1: Manhattan Bridge Capital
— MANHATTAN BRIDGE CAPITAL NASDAQ: LOAN July 2021
Slide 2: Forward-Looking Statements
Forward-Looking Statements MALL Sia This presentation includes forward-looking statements. All statements other than statements of historical facts contained in this presentation, including statements regarding our future results of operations and financial position, strategy and plans, and our expe
Slide 3: Offering Summary
Offering Summary MANHATTAN E CAPITAL, fissuer Manhattan Bridge Capital, In Exchange / Ticker Type of Security Offering Type Targeted Base Offering Overallotment Option Expected Use of Proceeds Insider Lock-up Anticipated Pricing Bookrunner NasdaqCM / LOAN Common Shares (100% Primary), Fully Register
Slide 4: Management
Management Assaf Ran, CEO Vannessa Kao, CFO Board of Directors Assaf Ran is the founder of Manhattan Bridge Capital and has been the Company’s CEO and President since 1989 Assaf has 32 years of senior management experience leading public and private businesses Founder of DAG Media and grew revenues
Slide 5: Company Overview
Company Overview MANHATTAN ¢ A leading “hard money lender” in the New York metropolitan market ¢ Provide short-term secured financing to real estate investors in the New York metropolitan area, including New Jersey and Connecticut, and Florida ¢ Higher rates than conventional banks for faster approv
Slide 6: Investment Highlights
Investment Highlights MANHATTAN High quality ~$60 million loan portfolio secured by residential properties with ~10.3% interest rate plus fees(2) Proven disciplined credit underwriting - Company has never foreclosed on a property or had a loan go into default status Favorable residential housing mar
Slide 7: Proven Business Model
Proven Business Model MANHATTAN ¢ Generate above average, consistent returns with low risk ¢ Rigorous due diligence comparable to a conventional bank but with quick approval ¢ Focused on asset and cash flow protection and net worth of principals ¢ Disciplined underwriting, deal structuring and portf
Slide 8: Organization
Organization MAnaE area CEO/Portfolio Manager ¢ Responsible for overall portfolio management Interviews each borrower © Oversees due diligence and decision-making process ¢ Monitors portfolio daily and interacts with borrowers Finance ¢ Preliminary screening and due diligence of financial conditions
Slide 9: Lending Process
Lending Process MANE ATTAN * Generate deal flow Chieti * Opportunity is matched with lending criteria Conservative Loan Underwriting * Thorough due diligence process « Emphasize principal protection to ensure margin Discipline Rigorous Portfolio Management * Continuous monitoring of underlying perfo
Slide 10: Loan Structure
Loan Structure MANHATTAN Typically, $300K - $600K Collateral Senior Mortgage Term Up to one year 9% - 14% (current rate) Upfront Fees 0% - 2% Payments Typically, interest payable monthly and principal payable at maturity According to the Company's lending policy Compelling exit strategy either by se
Slide 11: Financial Highlights
Financial Highlights Portfolio Overview Completed ~960 transactions in 14 years Revenue of $7.0M for 2020 compared to $7.3M for 2019 Net Income of $4.2M for 2020 compared to $4.5M for 2019 Revenue of $1.7M for 1Q21 and 1Q20 Net Income of $1.1M for 1Q21 and $1.0M for 1Q20 Since commencing this busine
Slide 12: Loan Portfolio Overview
Loan Portfolio Overview MANHATTAN Loan Portfolio Summary 1) Purchase Fix & Flip Deal Types 2) Small / New Construction 3) Income Producing Properties Property Type Breakdown Development - Mixed Use Development - 4% Commercial 3% Principal Amount Outstanding $58.5MM Number of Loans ile Outstanding De
Slide 13: Track Record of Steady Growth
Track Record of Steady Growth Revenue $6.9 | - 2014 2015 «2016 «2017. «2018 += 2019 2020S 1921” a a @ Total Revenue COVID Pandemic ( in millions) 1) _ Stacked bar represents 1Q21 on an annualized basis ($ in milions) $5.0 $4.0 $3.0 $2.0 $1.0 $0.0 2014 2015 2016 482017 2018 2019 mNet Income Dividends
Slide 14: Consistent and Stable Return on Average Equity (ROAE)
Consistent and Stable Return on Average Equity (‘ROAE”)) maNHaATTAN COVID 16.0% Pandemic \ L__----- oe 14.2% ____ 14.2% _____ foe ee 14.0% 14.0% vg. 12.0% / 10.0% 2014 2015 2016 2017 2018 2019 1Q21 1) _ Return on Average Equity ("ROAE”) is calculated by dividing GAAP Net Income by Average Total Equi
Slide 15: Real Estate Investment Trust (REIT) Model
1) Real Estate Investment Trust (“REIT”) Model MANHATTAN ¢ REIT tax pass-through entity ¢ Distribute at least 90% of earnings to shareholders ¢ 5 largest shareholders own less than 50% of shares outstanding ¢ Lower debt-to-equity ratio compared to peers ¢ High capital turnover results in increased l
Slide 16: Conclusion
Conclusion MANHATTAN * Track record of delivering strong returns and consistent dividends through credit cycles ¢ Proven disciplined underwriting and credit — No defaults since inception in early 2007 * Conservative strategy with low leverage ¢ Alignment of Interest - Management fully committed with
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