Tauro Capital Advisors Secures $50 Million in Loan Facilities for Three National Triple-Net-Lease Developers

LOS ANGELES, CA — Tauro Capital Advisors, Inc., a fully integrated financial services company with a diverse background in all aspects of commercial real estate, has secured a total of $50 million in revolving debt facilities that will enable Single-Tenant-Triple-Net-Leased developers to expand their portfolios through new site acquisitions and development.  

Stephen Stein, Managing Partner and Tony Festa, Director, Capital Advisor at Tauro Capital Advisors, Inc. worked together to arrange the financings.  

Stephen Stein

According to Festa, there has been an increase in demand for NNN properties regardless of the current environment thus fueling the accelerated pace of NNN development.  

“Single-tenant triple-net-leased product has continued to emerge as a stable asset class of choice for many investors across the country,” explains Festa.

“The industry saw a similar trend out of the 2008 downturn and throughout the last cycle, when single-tenant net-leased properties continued to perform and emerged from the recession relatively unscathed and resistant to market conditions. "

Today, we are seeing a similar shift as an increasing number of investors turn to NNN product rather than more management-intensive alternatives.”  

Tony Festa

As the leader and most active intermediary of financing in the NNN sector nationally, the three most recent facilities arranged by Tauro Capital Advisors, Inc. include:  

$25 Million Facility arranged on behalf of a local developer in Santa Monica, CA, who plans to develop additional NNN properties including national credit tenants 7-Eleven, Starbucks, Dutch Bros. Coffee and Chick-Fil-A.  

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• $15 Million Facility arranged on behalf of a western developer who will use the facility for NNN developments for Circle K, O’Reilly’s, AutoZone, Starbucks amongst other national credit tenants.
   
• $10 Million Facility arranged on behalf of a private developer in Northern California to fund future development for a variety of major tenants throughout California including Starbucks, Grocery Outlet, 7-Eleven.  
  All three facilities were secured through private lenders and debt funds offering 100% Loan-to-Cost debt facilities.
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• This provides increased liquidity for developers by freeing up otherwise tied up equity allowing them to pursue more opportunities without sharing any profit participation.

•  The use of funds includes reimbursement of all pursuit costs, leasing commissions, and due diligence, as well as land acquisition, financing and construction costs, and a development fee if desired.
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•  Tauro’s lending sources can provide single facilities of up to $100 million.  Tauro has arranged other facilities for developers of Chase Bank, ALDI, Dunkin Donuts, Smart & Final and other national credit tenants.  
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• “While lenders are being understandably cautious, the ability to secure large facilities like these in the current market climate speaks to Tauro’s strength as a financial intermediary and its deep knowledge of this product type,” says Festa.
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• “While most construction financing has dried up, our firm continues to source funding that aligns with our clients’ needs. This is largely because we are actively nurturing our capital relationships, so we always know where and how to access capital on behalf of our clients.”  
  
  Tauro’s operational platform includes weekly lender presentations that keeps the entire firm up to date on a vast network of lenders’ specific qualifiers and areas of focus.  
  
  “By knowing what each lender is seeking, we are better able to secure terms that benefit both lenders and borrowers,” says Festa.
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•  “In this case, the $50 million in facilities will enable these three developers to acquire parcels with certainty, ramp up development, make faster decisions, and reduce long-term costs while moving their business plans forward.”
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CONTACTS:

Micaela Fehrenbach/Lexi Astfalk  

Brower Group  

(949) 438-6262  

mfehrenbach@brower-group.com

Marcus & Millichap Handles $2.9 Million Sale of 28-Unit Summerhill at Meadowcrest Apartments in Crystal River, FL

 

Summerhill at Meadowcrest, a 28-unit apartment community,
6000 West Poplar Springs Circle, 

Jason Hague

CRYSTAL RIVER, FL – Marcus & Millichap (NYSE: MMI), a leading commercial real estate brokerage firm specializing in investment sales, financing, research and advisory services, announced the sale of Summerhill at Meadowcrest, a 28-unit apartment property located in Crystal River, Fla., according to Chris Travis, regional manager of the firm’s Tampa office. The asset sold for $2,900,000.

Jason Hague, Adam Podbelski, Ned Roberts, CCIM, investment specialists in Marcus & Millichap’s Tampa office, had the exclusive listing to market the property on behalf of the seller, a limited liability company.  

The buyer, a limited liability company, was secured and represented by the same brokers.

Adam Podbelski

“Summerhill was a typical multifamily transaction until COVID-19 hit the US, at which point all semblance of a typical transaction went out the window," said Hague.

 "Our team was able to expertly navigate the due diligence period despite the fact we were dealing with an international investor during a worldwide pandemic.

 "It took a couple extra months to close due to delays with third parties. Meanwhile, keeping the buyer engaged and excited about the deal despite the uncertain times we were dealing with.”

Ned Roberts

Summerhill at Meadowcrest is located at 6000 West Poplar Springs Circle in Crystal River, Fla. 

 The community offers an attractive unit mix of two- and three-bedroom units with above average floor plans averaging 1,360-square feet. 

Summerhill at Meadowcrest is located just minutes away from the Suncoast Parkway Extension which has potential to bring substantial growth to the immediate area.

CONTACT: Whitney Davis
Marketing Coordinator Certified Agent Support Specialist
Marcus & Millichap 201 North Franklin St. Suite 1100 Tampa, FL 33602 (813) 387-4743 direct (813) 387-4700 main (813) 387-4710 fax whitney.davis@marcusmillichap.com

www.MarcusMillichap.com.

Trion Properties Acquires 80-Unit Apartment Community in San Leandro, CA

Creekside Apartments, an 80-unit multifamily community
 in San Leandro, CA

San Leandro, CA – Trion Properties, a private equity real estate firm that specializes in multifamily investments in western markets, has acquired Creekside Apartments, an 80-unit multifamily community in San Leandro, California, for $20.5 million.

The transaction is Trion’s fourth acquisition in San Leandro since 2015 and ninth in the East Bay, representing the firm’s continued growth within the market, according to Max Sharkansky, Managing Partner at Trion Properties. 

“As an experienced owner and operator of apartment communities in the region, we are excited to add Creekside Apartments to our portfolio and execute our proven value-add strategy to deliver a property that serves the local community and position it to generate strong ROI for our investors,” says Sharkansky.

Max Sharkansky

“We were fortunate to be well-positioned to take advantage of the opportunity to acquire this asset at an attractive price, despite the hurdles caused by the pandemic.”

Built in 1969, Creekside Apartments features large one- and two-bedroom apartments averaging over 880 square feet, each with a private balcony or patio.

 Amenities include a swimming pool, laundry facilities on each floor, a courtyard with picnic area, and a gated parking lot.

Creekside Apartments is located at 424 Callan Avenue in San Leandro, California. The firm’s San Leandro portfolio also includes Metro 348, a 38-unit apartment community; Metro 77 and 85, a 146-unit apartment community; and Soji Apartments, a 61-unit apartment community.

 CONTACTS:

Micaela Fehrenbach / Elisabeth Manville

Brower Group

(949) 438-6262

mfehrenbach@brower-group.com

  http://www.trion-properties.com/