For the Bw Premier Collection's Denver Loan, what period was interest only due and payable monthly?
Bw_Premier_Collection Franchise · 2025 FDDAnswer from 2025 FDD Document
r 30, 2024
(17) Construction Loans
Denver 3560
In March 2020, Denver 3560 entered into an initial Construction Loan Agreement (the "Denver Loan") with UMB Bank, which allowed Denver 3560 to request advances up to $21.6 million. In July 2021, this Denver Loan was modified to increase the availability of loan advances from $21.6 million to $24.4 million. For the period May 1, 2020 through April 1, 2023, interest on the outstanding principal balance of the Denver Loan was due and payable monthly. Beginning April 1, 2023, through the maturity date of March 11, 2027, principal and interest are due and payable in an amount determined by UMB to be sufficient to amortize the outstanding principal balance of the Denver Loan over a twenty-five (25) year period. The outstanding principal balance of this
Source: Item 23 — Receipts (FDD pages 54–203)
What This Means (2025 FDD)
According to the 2025 FDD, the Denver 3560 had a construction loan with UMB Bank. The initial loan agreement was entered in March 2020, allowing Denver 3560 to request advances up to $21.6 million. This loan was modified in July 2021 to increase the availability of loan advances to $24.4 million.
For the period of May 1, 2020, through April 1, 2023, interest on the outstanding principal balance of the Denver Loan was due and payable monthly. This means that during this period, Bw Premier Collection was only required to pay the interest accruing on the loan each month, without having to make any payments towards the principal amount.
Beginning April 1, 2023, through the maturity date of March 11, 2027, both principal and interest are due and payable. The amount is determined by UMB to be sufficient to amortize the outstanding principal balance of the Denver Loan over a twenty-five (25) year period. The outstanding principal balance of this Denver Loan is due and payable on the maturity date.