Liberty SBF Closes $12.2MM Bridge Loan On Texas Shopping Center
Experienced sponsors refinanced retail center after road construction briefly caused a dip in occupancy.
Euless, TX – Liberty SBF, a full-service commercial real estate finance company, recently provided a $12.2MM Bridge Loan for a Texas shopping center.
After purchasing a Euless, TX shopping center in 2005, an experienced sponsor with a portfolio of over 800,000 square feet of commercial space had six straight years of success operating the retail center maintaining an occupancy rate of 90% that was consistent with the general market around it. In 2011, the state of Texas DOT began a construction project that inhibited the egress to the center resulting in increased vacancy as many tenants could not survive the lack of traffic caused by the construction.
The sponsors sought to refinance the existing debt on the property and came to Liberty SBF for a short-term solution. They plan to aggressively market the vacant space and bring it to market occupancy levels before seeking financing via the conduit market.
When construction was completed, the new off ramp tremendously improved the access to the property leading to positive leasing activity at the property with one major tenant extending its lease one year early, two others expanding their foot print by 100% at a higher rate and signing a 10-year lease with a new retailer.
“We considered the successful history of the property in its first few years with a sponsor that had plenty experience in the retail market,” said Alex Cohen, CEO of Liberty SBF. “Our research showed that the property would end up in an even better place than before construction with increased traffic and more visibility from the roadway, which carries about 230,000 cars per day past the shopping center.”
About Liberty SBF
Liberty SBF (Liberty) is a full-service commercial real estate finance company that provides loan origination, loan servicing and asset management. Liberty has a special expertise in small-balance commercial lending, lending directly from its balance sheet and originating loans for its investment partners. With offices in Philadelphia, New York, Los Angeles, Boca Raton and New York, Liberty originates loans across the United States. For more information about Liberty SBF, please visit http://www.libertysbf.com.