Houston, TX (PRWEB) June 18, 2014
AC Self Storage Solutions, LLC (“AC SSS”) successfully refinanced American Mini Storage I Missouri City at 2604 FM 1092 in Missouri City, Texas. The 4.48% interest loan replaced an existing 7% loan for more than 250bps in rate compression. The new loan allowed AC SSS to return more than $1.3 Million in equity back to the owners for a return of nearly 40% of original equity. The interest rate compression and 3 years of interest-only payments allow the property to maintain a lower debt service than the previous loan. Debt service on the previous loan was $206,165 and debt service for the first 3 years of the new loan is $177,200.
New loan terms:
Amount: $4 Million
LTV: +/- 62%
Term: 7 years
Amortization: 30 years
Interest Rate: 4.48% - Fixed
Interest-only: 3 years
“We are very pleased to be able to not only give the investors 40% of their invested capital back while still owning the asset, but, to also reduce the interest rate significantly and reduce the annual debt service.” states Troy Downing, CEO, AC Asset Management, LLC “this is, in my opinion, the brass ring of cash-flow real estate investing.”
AMS I Missouri City, a southwestern suburb of Houston, TX is a 555 Unit, Climate-Controlled Self Storage facility with 55,000 net rentable square feet of storage.
About AC Self Storage Solutions
AC Self Storage Solutions, LLC (“AC SSS”) has offices in Carlsbad, CA and Newport Beach, CA. AC SSS is an owner, operator, and servicer of Self Storage commercial real estate across the United States. In addition to acquisitions, AC SSS also offers asset management services and has over a million square feet of Self Storage under management. Visit http://www.acselfstorage.com.