$3,615,000 Multifamily Permanent Loan in Southern California

George Smith Partners arranged a $3,615,000 permanent loan for a 25-unit stabilized apartment complex in Southern California. The Sponsor is a long-term holder and wanted a 30-year loan term. GSP arranged fixed/floating “hybrid” financing with a portfolio lender. The structure offers a 5-year fixed rate period with flexible prepayment (5,4,3,2,1 stepdown) that converts to a floating rate. The Sponsor could then prepay at par or continue floating with adjustments every 6 months capped at 1.0% increases.