June 2022
Transaction Description:
George Smith Partners successfully closed a loan at 60% loan-to-value for an 84% occupied, newly built, and stabilized retail center in Bakersfield, CA. GSP located a lender that was able to lock the rate of 4.125% at application to avoid the rate volatility in the market. Many lenders were not comfortable quoting the deal because of the lack of operating history. GSP was able to locate a lender that was comfortable with the lack of history, with a 6-month debt service reserve held back at closing, to ensure that the tenants continue to pay rent. The reserve is released after 6 months of full rent collection.
- Rate: 4.13%
- Term: 7 years
- LTV: 70%
- Amortization: 1 Year IO, then 25 Year Amortization
- Prepayment: None
- Fee: None
- Guaranty: Full Recourse
