Manhattan Bridge Capital, Inc · NASDAQ:LOAN
Manhattan Bridge Capital — Investor Presentation (September 2016)
12 slides from Manhattan Bridge Capital's investor presentation, September 2016
Slide 1: Manhattan Bridge Capital
— MANHATTAN BRIDGE CAPITAL NASDAQ: LOAN
Slide 2: Forward-Looking Statements
Forward-Looking Statements 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 expectations
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 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 portfolio management •
Slide 5: Existing Loan Portfolio
Existing Loan Portfolio Deal Types Purchase, Fix and Flip Small/New Construction Projects – single and multi-units Income Producing Properties 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 safety Rigorous - Continuous monitoring of underlying performance and compli
Slide 7: Loan Structure
Loan Structure Size • Typically, $50K - $1.5M Collateral • Senior Mortgage Term • Up to one year Rate • 12% - 14% (current pay) Upfront Fees • 0% - 3% Payments • Typically, interest payable monthly and principal payable at maturity Covenants • According to company’s lending policy • Compelling exit
Slide 8: Financial Highlights
Financial Highlights Portfolio Overview Balance Sheet • Currently managing approximately 90 loans • $32M of short-term and long-term secured loans receivable at June 30, 2016 • Completed more than 460 transactions in 9 years worth more than $130M • $14M line of credit with Webster Business Credit Co
Slide 9: Organization
Organization 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 • Monito
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 26 years of senior management experience Assaf Ran, CEO leading public and private businesses • Founder of DAG Media and grew revenues to over $12M • Vanessa Kao rejo
Slide 11: MBC REIT Model
MBC REIT Model • REIT tax pass-through entity • Distribute 90% of earnings to shareholders • 5 largest shareholders own less than 50% of shares outstanding • Lower leverage compared to peers • High capital turnover results in increased liquidity • Company has increased its quarterly dividend to $0.1
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 thorough due diligence and transaction structuring • Exten
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