Transaction Overview
George Smith Partners arranged the $11,625,000 non-recourse acquisition loan for a 78,169 square foot grocery anchored Cincinnati, Ohio retail. This loan was structured to address several events taking place during the ten-year loan term: A major tenant representing 40% of the net rentable has a lease expiration option during the first five years of the loan term. The Sponsor required a partial release of collateral without a loan pay-down to facilitate a pad sale. GSP worked closely with the lender to document the exceptionally low vacancy of the market and the value of this irreplaceable location, creating a high probability that the tenant will renew. No value was allocated to the out-parcel for underwriting purposes, allowing for the future release without any loan reduction. Terms for this non-recourse loan are confidential.
