Retail Strip in Tempe, Arizona
The Sponsor was initially rolling a 1031 exchange from the sale of a property in another state into a retail center in Arizona. The Borrower was looking for maximum leverage to limit the down payment that was in exchange, however, the sponsor was unable to obtain the leverage he required through his existing relationships.
CommLoan was able to secure a loan at 75% LTV with a non-banking financial lender in time to meet the 1031 exchange deadline. CommLoan originated a $5.6MM non-recourse loan at 75% of the acquisition, with limited reserve requirements. CommLoan was able to walk the Borrower through every step of the process to successfully complete his first non-recourse loan.