Transaction Overview
George Smith Partners arranged $9,120,000 in non-recourse acquisition debt secured by a cold storage facility. The Property is situated in the Chinatown submarket of Downtown Los Angeles and benefits from being within the CASP (Community-Based Planning Effort) area. GSP targeted a capital provider comfortable with the single tenant nature of the property, and the ability to focus on the future value of the parcel. Sized to 60% of the $15.2MM total purchase price and fixed at 5.90% on an interest only basis, the non-resource facility has an initial term of 12 months followed by an optional 3-month extension. All prepayment penalties were waived, allowing the Sponsor the flexibility to refinance at a lower rate once construction financing is obtained.
