Commercial Mortgage Lenders Pioneering Shopping Center refinance
Commercial Mortgage Lenders continue returning to the market in 2010, making refinancing a bit easier than in 2009. Commercial mortgage lenders are playing an important role in the real estate market today, helping to make commercial refinancing more accessible and affordable. Financial Compound refinances a 4 tenant 20,000sf center consisting of the “out parcel” spaces next to a 100,000 s.f. supercenter. The supercenter purchased their portion of the property from our client, the original developer of the entire shopping center. This shopping center enjoyed full occupancy since construction until the former anchor tenant declared a chainwide Chapter 7 bankruptcy liquidation.
When this anchor tenant went dark, our borrower stepped up and made loan payments out of pocket for 14 months to keep the property running smoothly. Proceeds from the supercenter sale and a cash settlement with the lease guarantor of former anchor yielded enough proceeds to payoff the property mortgage and left the borrower with the outparcels unencumbered–a true “lemons to lemonade” story which allowed for a refinance by commercial mortgage lenders.
Customized Loan Terms
Commercial Mortgage Broker Financial Compound structured a $500,000 holdback for leasing reserves with commercial mortgage lenders to mitigate the risk from half the net rentable area’s leases expiring within two years. Also full recourse until the spaces are renewed or re-leased. The borrower, a longstanding client of commercial mortgage broker Financial Compound, had an NOD filed on a separate property, and also a consensual bankruptcy on yet another property. Commercial mortgage broker Financial Compound demonstrated that the borrower acted ethically in both situations so that no additional credit enhancements were required to refinance this transaction. Loan terms include a $2.5 million loan amount, ten year term, 30 year amortization, interest rate of 6.4%, 70% LTV and 1.25 DCR, non-recourse, closing costs including lender fee of $9,900. Through focused commercial mortgage brokerage, we are helping our commercial real estate owner clients navigate difficult times and keep their business thriving- connecting them with a wide range of commercial mortgage lenders.
Through the process, we work closely with commercial mortgage lender to ensure that all details are in order to successfully navigate through this challenging refinancing process. So if you’re looking for a commercial mortgage lender to help with your next project or refinance endeavor, look no further than Financial Compound.