Sharone Sabar, an associate director in the firm’s Encino office, arranged the financing package for Haynes Medical Plaza.
“The borrower attempted to secure financing with two other lenders and was not successful,” says Sabar. “MMCC was able to secure an extremely high-leverage, owner-occupied Small Business Administration loan.”
“In addition, the property’s income did not support the loan amount requested,” adds Sabar. “MMCC was able to convince the lender that the borrower’s overall cash flow, including his business and other investments, supported the loan amount the borrower needed to close the transaction.”
Financing for this transaction was provided by the Small Business Administration at a 6.39 percent fixed rate. Terms of the loan are for 10 years with a 10-year amortization schedule. Loan-to-value was 88 percent.
“MMCC added value to the transaction by securing high-leverage financing with a low, long-term fixed-interest rate, and by closing the transaction before the deadline,” notes Sabar.