Morena Flex

Transaction description

Jen Mustard of PSRS successfully arranged a $3 million refinance for a flex/retail showroom in San Diego, California. The property is a 23,191-square-foot, freestanding, single-tenant flex/retail showroom built in 1972 and renovated in 2000. This single-story building features a loading bay and 30 parking spaces, with an interior primarily configured as open retail floor space.

PSRS secured a non-recourse, 10-year loan with a 25-year amortization through one of its correspondent life insurance company lenders. This refinance restructured a two-property loan into a single-property loan, allowing the borrower to free up one property from debt. Despite the challenges of an existing long-term tenant with only a few years remaining on their lease and the borrower’s need for non-recourse financing with entity carveouts, PSRS leveraged its strong life company relationships to navigate these hurdles. Additionally, PSRS were able to hold the rate lock through closing, circumventing a rise in interest rates since November.