"We've done a lot of financing for the buyer in the past. This was a smaller transaction that required a real quick shot," Tucker Knight, director with Holliday Fenglio Fowler, LP's Houston office, tells GlobeSt.com. He says the buyer got a 10-year, 5.85% fixed-rate securitized financing through a conduit program of Chicago-based LaSalle Bank to buy the 73%-leased facility at 2915 N. 23rd St.

"A lot of the lenders are bullish on self-storage right now," Tucker explains. "Plus in this case, they acquired the property at a good cap rate and plan a hold so the lenders were satisfied." The 80% acquisition financing includes a 30-year amortization with the first two years as interest-only payments.

Knight adds the investor bought another other property just down the street in the past two years. "The borrower's always looking for new real estate, but there's nothing closing in his immediate future," he adds.

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