Memphis Self-Storage

Transaction description

William DeFanti of PRS arranged the construction loan of a self-storage facility in Memphis, Tennessee. The subject property, originally a two-story industrial building, was acquired and converted into a self-storage facility containing 350 storage units. PSRS was able to secure the high-leverage, non-recourse, 75% loan-to-cost, constructions loan with a term of 3 years Interest Only. Funded in 3 weeks, this loan allowed the borrower to construct the facility and get to a stabilized property so that they could take out the higher interest rate construction lender upon stabilization. The 3-year interest-only loan allowed the borrower to facilitate the business plan in constructing and having appropriate time to lease-up.