San Diego Retail

Transaction description

Trevan Swierczewski and Alexander Santulis of PSRS arranged the $6.7 million refinance of a retail shopping center in San Diego, California. The property consists of two single-story buildings totaling ± 65,000 rentable square feet. Originally built in 1972, the center includes a multi-tenant building with five tenants and a drive-thru pad ground-leased to Burger King. Key tenants include Smart & Final, AutoZone, and Big 5 Sporting Goods.

Financed through one of PSRS’ correspondent life insurance company lenders, the non-recourse loan was structured with a 15-year term and 15-year amortization, competitively priced over the 10-year Treasury. The loan closed before the incoming grocery anchor took occupancy or paid rent, with no holdbacks or additional structure required by the lender. A portion of the proceeds was allocated toward tenant improvements, leasing commissions, and costs associated with the new grocery lease.