"...our funding facility will enable the borrower to lease-up the asset over the next few years.”
Boise, ID (PRWEB) June 19, 2013
A10 Capital, a full service nationwide lending business specializing in small to middle market commercial real estate loans, announced today that it closed a $7.2 million bridge loan secured by an unanchored Class B shopping center in Oklahoma. A10’s borrower is a private real estate investment firm specializing in the acquisition and management of value-add properties nationwide.
The initial advance of $5.6 million was used to fund the acquisition, cover operating deficiencies, and pay for tenant improvement and leasing commissions on two recently signed leases that will increase the building’s occupancy from its current rate of 59%. In addition, the loan includes a $785,000 “good news” facility to fund future leasing costs in order to get the property fully stabilized. The transaction was structured on a non-recourse basis.
A10 Capital CEO Jerry Dunn commented, “Due to the property’s occupancy and debt service coverage issues, the borrower was unable to secure bank financing despite the high quality of the real estate collateral and the strong sponsorship.” Dunn added, “A10’s bridge loan enabled the borrower to buy this value-add property and our funding facility will enable the borrower to lease-up the asset over the next few years.”
The loan was referred to A10 Capital by Triad Capital Advisors, a commercial real estate capital intermediary firm located in Kansas City.
About A10 Capital
Founded in 2007, A10 Capital specializes in small to middle market commercial mortgage loans on a nationwide basis. Our core product, a mini-perm loan, features an intermediate term of 3-5 years that is often used to finance properties not yet in a position to obtain longer-term, permanent financing. A10 Capital is a full service lending platform, including origination, underwriting, closing, and servicing. The firm has its primary headquarters located in Boise, Idaho, with secondary headquarters located in Dallas, Texas. In addition, A10 has regional production offices located in Atlanta, Chicago, Newport Beach, New Jersey, Philadelphia, and San Francisco.