Finfacts XXIV – No. 433

Transaction Description:  

George Smith Partners has successfully arranged a joint venture equity partnership, securing up to $175 million for a prominent land banking investment firm and closing on the first $137 million. This is the second partnership that GSP has arranged for their client within a three-month span, bringing the total equity commitment to $550 million enabling over $1 billion of total investments. The JV Equity will be utilized to finance the acquisition and horizontal development of fully entitled land designated for residential communities across the United States.  

Transaction Description: 

George Smith Partners secured a $6,000,000 bridge loan for a condominium property in the Bay Area. The property received certificate of occupancy earlier this year and half of the units were successfully sold. The construction loan was coming due, so the Sponsor needed a quick close bridge loan that would give them time to sell the remaining units.

GSP was able to source a bridge lender that provided a fixed rate loan with no prepay. The loan allows the developer to release the remaining units from the collateral as they are sold. The refinance closed in just 3 weeks from the signed application.