California

George Smith Partners arranged the $7,000,000 non-recourse acquisition loan for the acquisition of a 22,150 square foot parcel located along a major thoroughfare in West Los Angeles, California. Currently improved with a 5,275 square foot retail building occupied by a single tenant, the lender structured an interest reserve as in-place cash flow is inadequate to cover debt service. This loan provides our Sponsor with financing during the entitlement period and will be taken out with a construction loan upon receipt of entitlements for the 15,000 square foot retail redevelopment. Funded to $316 per square foot for the land; $1,327 per square foot improved, GSP sourced a capital provider comfortable with the high loan per square foot on the existing collateral due to the project’s streamlined “by-right” entitlement process and tight market occupancy. Sized to 67% of purchase price, the two-week non-recourse quick close acquisition loan priced at 10% fixed for the 18-month loan duration.