The collateral for this loan is a 66,000 square foot shopping center in Kent, WA. This is part of a larger shopping complex that includes national retailers like Target, PETCO, and Ross Dress for Less along with many local shops. The part of the complex the borrower is acquiring is the far north part of the well performing, highly trafficked property. This space was once used as a large format grocery store but was shut down many years ago and has sat vacant. The borrower has three tenants in tow that will have the property 94% leased. Tenants range from 17,000 square feet to 25,000 square feet and all three have already signed LOI’s on the project. Final leases are expected in the coming weeks. Two of the three tenants should be open and fully operational in 2023 and one of them will not be opening until early 2024.Once all tenants are open for business, the borrower will either refinance or sell the property.
Loan Amount: $11,000,000
Yield: 11% interest is paid monthly in arrears with payments due on the 1st of each month with a 10- day grace period. *For investments equal to or greater than $100,000 investors will earn 11.5%.
Term: Nine months with an optional nine-month extension at maturity. Final maturity date is 6/13/24.