Manhattan Bridge Capital, Inc · NASDAQ:LOAN
Manhattan Bridge Capital — Investor Presentation (September 2014)
12 slides from Manhattan Bridge Capital's investor presentation, Sep 12, 2014
Slide 1: Manhattan Bridge Capital
— MANHATTAN BRIDGE CAPITAL NASDAQ: LOAN
Slide 2: Forward-Looking Statements
Forward-Looking Statements This prospectus includes forward-looking statements. All statements other than statements of historical facts contained in this prospectus, including statements regarding our future results of operations and financial position, strategy and plans, and our expectations for
Slide 3: Overview
Overview • 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 • Higher rates than conventional banks for faster approval • Typical loans range from $300K - $600K 3
Slide 4: Business Model
Business Model • Generate above average, consistent returns with low risk • Rigorous g due diligence g comparable p to a conventional bank but with q quick approval pp • Focused on asset and cash flow protection and net worth of principals • Disciplined underwriting, underwriting deal structuring an
Slide 5: Existing Loan Portfolio
Existing Loan Portfolio 3% 8% Deal Types Purchase, Fix and Flip ((As of 3/31/14) Small/New Construction Projects – 89% single and multi-units Income Producing Properties Residential Developers $13.8M Commercial Developers $1 $1.2M 2M Mixed-Use Developers $0.5M 5
Slide 6: Lending Process
Lending Process - Generate deal flow Origination - Opportunity is matched with lending criteria Conservative - Thorough due diligence process Discipline - Emphasize principal protection to ensure margin of Loan Underwriting g y safety Rigorous - Continuous monitoring of underlying performance and co
Slide 7: Loan Structure
Loan Structure Size • $50K - $1.4M Collateral • Senior Mortgage Term • Up to one year Rate • 12% - 15% (current pay) Upfront Fees • 1% - 5% Payments • Typically, interest payable monthly and principal payable at maturity Covenants • According to company’s lending policy • Compelling e exit it strate
Slide 8: Financial Highlights
Financial Highlights g g Portfolio Overview Balance Sheet • Currentlyy managing g g approximately pp y 75 loans • $15.6M $15 6M of short short-term term and long long-term term secured loans receivable at March 31, 2014 • Completed more than 280 transactions in 7 years worth more than $70M • Net pro
Slide 9: Organization
Organization CEO/Portfolio CEO/P tf li Manager M • Responsible for overall portfolio management • Interviews each borrower • Oversees due diligence and decision making process • Monitors M it portfolio tf li daily d il and d iinteracts t t with ith b borrowers Finance y screening • Preliminary g and
Slide 10: Management
Management • Assaf Ran is the founder of Manhattan Bridge Capital and has been the company’s CEO and President since 1989 • Assaf has 23 years of senior management experience Assaf Ran, CEO leading ead g pub publicc and a dpprivate ate bus businesses esses • Founder of DAG Media and grew revenues to
Slide 11: MBC REIT Model Conversion
MBC REIT Model Conversion • Conversion to a REIT tax pass-through entity • Distribute 90% of earnings to shareholders • Post offering, 5 largest shareholders will own less than 50% of shares outstanding • Lower leverage g compared p to p peers • High capital turnover results in increased liquidity 1
Slide 12: Conclusion
Conclusion • Advantages in both strong and recessionary markets • Strong management team and proven track record • Focused and specialized with one product – hard money loans • Low risk of default with short-term, conservative LTV loans with g due diligence thorough g and transaction structuring g •
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