Southern California Car Sales Lot Acquisition

Transaction Description: George Smith Partners successfully placed the acquisition financing for the purchase of a net-leased automobile sales lot in Southern California. Most capital providers avoid auto related uses due to environmental concerns and the land to improved ratio – the subject is 30% improved compared to the lot size. GSP identified a regional lender who understands auto-use and the underlying land value, and was comfortable underwriting the NNN lease. Sized to 60% of purchase and fixed for five years at 4.75%, the 10 year term amortizes over 20 years for this recourse loan.