Storage Business Owners Alliance
30665 Northwestern Highway  Suite 100
Farmington Hills, MI 48334 USA
Toll Free: (248) 254-9000
(248) 254-9000
Phone: (248) 254-9000
Fax: (248) 538-4327
Email: info@thesboa.com

Featured Deal of the Month: March 2017

Date: 3/7/2017
Author: Shawn Hill and Devin Huber

The BSC Group recently arranged $7 million in loan proceeds used to refinance a maturing CMBS loan on a property located outside Atlanta, GA for a California based sponsor. The new non-recourse loan featured a 10-year interest only term at a fixed interest rate in the low 4% range. Given the financing metrics included a Loan To Value of 55% and a debt yield of 12.5% many Life Insurance Companies aggressively bid on this financing package. The CMBS market differentiated itself and ultimately won the transaction by offering the full term interest only payments at a similar interest rate offered by the Life Insurance Companies satisfying the clients desire for enhanced cashflow.