$18,000,000 Non-Recourse Financing for the Recapitalization of a Six Property Retail Portfolio; San Francisco and Los Angeles, CA

Rate: 30-Day LIBOR + 2.80%
Term: Three years plus two 12-month extensions
Amortization: 36 months interest only
Max Loan to Value: 65%
Prepayment: 18-month minimum interest period
Guaranty: Non-recourse
Lender Fee: 1.00%

Transaction Description:

George Smith Partners successfully arranged $18,000,000 in non-recourse financing for a six-property portfolio that includes trophy street-front retail in urban infill locations within the primary submarkets of San Francisco and Los Angeles. The mix of tenants include national investment-grade companies, and quality national, regional and local companies. The assets are strategically located in submarkets with high barriers to entry, strong demand drivers, and quality demographics.

GSP’s extensive lender relationships allowed for a competitive marketing process to create the desired structure to meet the Sponsors current and future growth objectives. GSP created a flexible structure that allowed the Sponsor to acquire new properties to meet their growth objectives. The Capital Partner structured the financing at a 65% loan to value on a non-recourse basis across the assets, with favorable release and acquisition provisions. Exact terms are confidential. The three-year initial loan term is interest only and priced at 280 bps over Libor with two, one-year extension options.

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  • Expand

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