Transaction Overview
GSP successfully placed $4,000,000 of non-recourse, ten-year fixed-rate first mortgage debt collateralized by a 48,000 square foot retail box newly demised into four tenant suites. The improvements are 100% leased to two gym users, a restaurant, and an auto parts store. GSP sourced a lender comfortable with providing a full-term Interest-Only loan on the collateral despite both gym tenants, which represent 64% of income and 62% of building square footage in the aggregate, having newly signed leases and therefore no sales history at the Property. Additionally, GSP worked with the Lender to close the loan prior to the smaller gym tenant (11% of income and 14% of building square footage) completing its buildout and opening for business. Loan proceeds were subject to an 8.75% debt yield and the Interest-Only loan has a fixed coupon of 3.94% for the ten-year term.
