Atlanta Metro, Georgia – iBorrow, a nationwide private direct lender for commercial real estate, has provided a $15.6 million loan to support the acquisition of a highly leased retail center situated in the strong affluent Atlanta suburb of Roswell, Georgia, according to Brian Good, CEO of iBorrow.
“The Roswell/Alpharetta submarket has maintained a sub-8% retail vacancy rate since 2014, demonstrating its resilience throughout the pandemic and the subsequent period of higher interest rates,” says Good. “The submarket was easily able to absorb the addition of hundreds of thousands of square feet of new retail product, and achieve rent growth of 5.7% year over year, reflecting robust and steady demand for leasing retail inventory.”
The retail center, which spans 56,921 square feet, is leased to 13 tenants, five of which have been with the center for more than a decade.
“Tenant longevity at this property reflects the strength and desirability of the location,” explains Good. “Within a one-mile radius of the center are 3,238 households with a median household income that is twice the national average. All of this culminates in a strong opportunity for the sponsor to grow value within a high-performing asset and a loan that meets our underwriting criteria.”
The challenge faced by all parties was time. The sponsor was under a short deadline to close on the acquisition, and needed flexible financing that would allow limited prepayment penalties to facilitate borrower’s desire to eventually transition to permanent financing.
“With so much strain on banks and other lenders in the market, many borrowers are finding that the iBorrow bridge loan platform, which focuses on speed, creativity, reliability and service, has become necessary in order to get deals closed in such a volatile market,” notes Good. “In this case, our team was able to structure a loan that met the borrower’s needs and closed in a tight timeframe, underscoring our commitment to providing efficient and flexible financing solutions.”
The property is located at 10930 Crabapple Road in Roswell, Georgia.