$13,000,000 Non-Recourse Construction Financing for a 144,000 SF Industrial Property; Madera, CA

Transaction Description:

George Smith Partners successfully arranged the non-recourse, construction financing of a 144,000 SF flex-industrial property in Madera, California. The Property is a 74-unit flex industrial/warehouse that will serve the underserved small-scale user. The Sponsors are capitalizing on the very low vacancy rate in the Madera/Fresno industrial market. The Sponsors are very knowledgeable on the market but have not yet completed a ground-up construction project. Their lack of direct experience and the smaller market made it difficult for many lenders to provide the financing. George Smith Partners was able to educate the selected lender on the need for this product in the market and the industrial experience of the Sponsorship which allowed them to get comfortable with the transaction and provide very favorable financing.

  • Rate: 7.00% + LIBOR
  • Term: 24 Months with Two Six-Month Extension Options
  • LTV: 65%
  • LTC: 70%
  • Amortization: Full Term Interest Only
  • Prepayment: 12 Months’ Minimum Interest
  • Guaranty: Non-Recourse

Related Financings