Manhattan Bridge Capital, Inc · NASDAQ:LOAN
Manhattan Bridge Capital — Investor Presentation (March 2019)
13 slides from Manhattan Bridge Capital's investor presentation, March 2019
Slide 1: Manhattan Bridge Capital
— MANHATTAN BRIDGE CAPITAL NASDAQ: LOAN March 2019
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 Loan Underwriting of safety Rigorous - Continuous monitoring of underlying performance and compli
Slide 7: Loan Structure
Loan Structure Size • Typically, $300K - $600K Collateral • Senior Mortgage Term • Up to one year Rate • 10% - 14% (current pay) Upfront Fees • 0% - 2% 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 • $54.8M of secured loans receivable at December 31, • Completed more than 740 transactions in 2018 12 years • $25M line of credit with Webster Business Credit • Revenues of $7.2M for 2018 compared to $5.9M Corp. and Flushing Bank with interest a
Slide 9: Growth
Growth $8,000,000 $7,224,562 $7,000,000 $5,918,937 $6,000,000 $5,000,000 $4,648,560 $4,000,626 $4,204,424 Revenue $4,000,000 $3,438,534 $2,903,665 $2,836,960 Net Earnings $3,000,000 $2,237,571 $2,000,000 $1,454,505 $1,000,000 $- Year 2014 Year 2015 Year 2016 Year 2017 Year 2018 9
Slide 10: 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 11: Management
Management • Assaf Ran is the founder of Manhattan Bridge Capital and has been the company’s CEO and President since 1989 • Assaf has 29 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 12: 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 13: 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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