$12,400,000 Fixed-Rate, Bridge Loan for the Refinance and Lease-Up of an Office Building

GSP successfully arranged a 24 month bridge loan, to enable our borrower to lease up/stabilize a 155,000 sq ft office property. The new loan pays off existing financing, funds future tenant improvements and leasing commissions, provides an interest reserve to service the debt until all tenants begin paying rent in October 2011, and reimburses the borrower for tenant improvements and leasing commissions spent prior to the loan funding. The Sponsor originally intended to build a mixed-use property on the site. However, as the market changed, the borrower decided to keep the existing structure and lease as office. In 9 months, the Sponsor successfully brought the property from almost entirely vacant to 42% occupied and 82% leased with very strong tenants. The borrower’s existing loan was coming due in 1st quarter 2011. The new bridge loan will allow time to lease up to market occupancy of 90%.