Transaction Overview
George Smith Partners successfully arranged $25,400,000 Owner/User Financing for the acquisition of a 392,728 class A office building in the Inland Empire. The sponsor is a nonprofit health care company relocating headquarters and will occupy over 80% of the building. The financing features both an attractive long term fixed rate and flexible pre-payment terms (no defeasance or yield maintenance). The acquisition allowed the sponsor to consolidate multiple locations into a single campus like setting. This purchase was an REO from a special servicer and required bondholder and court approval to close. GSP was able to assist in expediting that portion of the process. Recourse is limited to a capitalized entity – there is no warm body repayment guarantee.
