Terrace Capital, Inc. Secures $61MM in Non-Recourse Senior Debt Financing- Industrial Portfolio Midwest, US.


New York, NY (PRWEB) December 19, 2012

Barnett Capital LTD, located in Chicago, IL is a Family Office, founded by Joel Barnett, which provides high yield debt for owners of commercial & residential real estate and companies in need of financing for inventory and equipment. Mr. Barnett, for the past 30 years, has captained the firm that bears his name with the sole purpose of sourcing and managing investment opportunities for his family.

The proceeds of this $ 61MM, 75% LTV, CMBS loan were used by the borrower for the refinance of full recourse lines of credit that had been used to acquire, renovate and re-tenant 20 industrial properties, totaling 2MM square feet. The senior debt had a 10-year fixed term and a 25 year amortization schedule and required no personal guarantees. The non-recourse, permanent financing will allow Barnett Capital to expand its core lending business and continue providing capital to organizations and individuals, who are unable to obtain traditional bank financing.

According to a senior underwriter at Terrace Capital, Barnett had specific requirements which had to be met for certain business needs such as maximum leverage, the ability for partial releases of collateral and the flexibility to use letters of credit for reserves, instead of cash. Despite the challenges of working with single tenant buildings, multiple short term leases and several tertiary locations, Terrace was able to structure a max leverage CMBS deal which allowed for partial releases with acceleration rates as low at 105%, by cross collateralizing the assets and minimal use of letters of credit to mitigate lease rollover risk.

About Terrace Capital

Terrace Capital focuses on non-recourse loans and preferred equity of $ 5MM and greater on income-producing retail, office, industrial, multifamily, self-storage and hotel properties throughout the continental United States.

The Firm is a leader in providing permanent mortgages and equity for wide range of real estate transactions.

For more information about Terrace Capital and the services it provides, go to http://www.terracecapital.com.







Related Commercial Mortgage Lending Press Releases

Commercial Real Estate Loans Firm, Clopton Capital, Offering Non-Recourse Loans at Historically Low Interest Rates

(PRWEB) August 02, 2012

Clopton Capital, a commercial real estate finance firm that offers commercial mortgages and loans for income producing properties nationwide, announces the opportunity for commercial real estate owners and operators to lock in historically low interest rates for non-recourse CMBS loans.

Over the past couple weeks, treasury rates have dipped to extremely low levels that are offering borrowers the opportunity to refinance and acquire commercial real estate at extremely low rates for non-recourse CMBS loans. CMBS loans are based off of treasury rates, so the lower the treasury rates go, the lower the CMBS rates go as long as the spread charged to borrowers doesnt change. Eligible property types would include multifamily, office, retail centers, hospitality, and industrial properties. We are looking to provide financing for a diverse range of property types. Loan amounts range from $ 1 million up to as high as $ 50 million and we are seeing rates dip into the low 4%s for strong properties, says Jake Clopton, founder. The best way to learn more about these loan options is to contact a loan officer by calling 866-647-1650.

Clopton Capital ranks as one of the most active and dynamic commercial real estate finance firms providing lending options nationwide for income producing properties. Offering commercial mortgages, construction loans, bridge loans, and CMBS loans to borrowers for a diverse range of property types and ownership structures, Clopton Capital has the capability to meet almost any lending needs of property owners and managers.

For more information contact a loan officer by calling 866-647-1650 or visit http://cloptoncapital.com/cmbsloans.html







Clopton Capital is Announcing that They are Currently Seeking Hotel Loans for Non-recourse Execution Nationwide

chicago, illinois (PRWEB) April 12, 2012

Clopton Capital, a secondary market commercial real estate lender, is announcing that they are currently seeking hotel loans for non-recourse execution nationwide. Due to a large bucket of capital that is ear marked for hospitality lending, they are reaching out to the commercial real estate industry to try to put that capital to work. Loan sizes range from $ 5 million and up and can be comprised of a single property or portfolio.

Clopton Capital is trying to reach a loan volume of at least $ 75 million worth of non-recourse hotel loans by June 1, something that should be an attainable goal considering the amount of hotel debt out there that is in need of refinancing. The loan structure is the same as a standard cmbs loan and with fixed rates up to ten years and amortizations up to 30. Currently, the preferred hotel flags include the following; Holiday Inn Express, Holiday Inn, Comfort Inn & Suites, Four Points by Sheraton, Hampton Inn, Sleep Inn, Crown Plaza, Candlewood Suites, any Marriott, Sheraton, Hilton type products., Best Western, La Quinta. Essentially all midscale flags. The economy brands (i.e. EconoLodge, Howard Johnson, Days Inn, etc.) can work as well.

We hope to make a serious impact with the announcement of this product, Says Jake Clopton, President of Clopton Capital. The folks that are going to benefit the most from this are the middle market property owners that are looking for cash outs, refinances, and non-recourse debt. Weve seen a lot of guys wanting to find non-recourse options for hotels and motels but little execution on the lenders side. Now that we have something that the market has been missing and we are vocal about it, we are expecting to see a significant rise in loan production.





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