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| Juanita Tate Marketplace, South Central Neighborhood Los Angeles, CA |
LOS ANGELES, CA – Commercial real estate investment banking
firm George Smith Partners has successfully arranged $22 million in financing
for its client, Optimus Properties, LLC and Infinity Redevelopment, LLC, for
the acquisition of Juanita Tate
Marketplace, a 77,000 square-foot, newly constructed retail shopping center
in the South Central neighborhood of Los Angeles, California, according to
George Smith Partners’ Senior Vice President Shahin Yazdi.
The property was developed in partnership with the City of
Los Angeles and the nonprofit organization Concerned Citizens of South Los
Angeles (CCSCLA) to bring retail options and jobs to this dense, low income
area of the Los Angeles market.
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| Shahin Yazdi |
According to Shahin
Yazdi of George Smith Partners, the structure of the acquisition financing
was focused on high debt and low equity.
“Our client wanted to secure as much debt as possible for
this acquisition in order to conserve the company’s valuable equity,” explained
Yazdi.
“Ultimately, we were able to secure an impressive 90 percent
loan-to-close, allowing our Client to bring the least amount of equity possible
to the transaction in order to purchase the property.”
Yazdi notes that, when identifying acquisition financing for
the property, one factor that made the investment stand out to potential
lenders was the property’s valuation, which far exceeded the purchase price of
$24 million.
In fact, some appraisers
estimated the property value in the $30 million range.
“In addition to the property’s high appraisals, the asset
has strong in-place co-anchor tenants, including CVS and local grocery chain
Northgate González Markets,” he said. “These tenants, coupled with the limited
supply of nearby retail options made this investment particularly attractive to
potential lenders.”
For a complete copy
of the company’s news release, please contact:
Corynne Randel/ Jenn Quader
Brower, Miller & Cole
(949) 955-7940
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