The 90,643-sf Stone Gate Plaza, a 99%-leased project on 10.2acres at 1044 S. Crowley Rd., changed hands in a 45-day cycle,according to Todd McNeill, senior director of Metropolitan CapitalAdvisors Ltd. in Dallas. "It's such a class A project that itwasn't very hard to sell," he adds.

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McNeill and Margaux's founder Don Silverman worked the sale ontheir own although it's not part of Metropolitan's usual serviceline-up. "This was very unusual for us to do," McNeill tellsGlobeSt.com. "We were facilitating for a very, very goodclient."

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McNeill says Three Rivers Holding came to the table with 1031exchange money, but he's not certain about the source. "We were ondeadline, but we weren't up against the gun or anything like that,"he explains. He adds that Stone Gate was earmarked as thereplacement product shortly before the exchange cleared the closingtable, an offshoot of the buyer cold calling Metropolitan's officein search of a stabilized shopping center. "It was one of thoseshots in the dark," he says about the buyer-seller matchmaking.

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McNeill says Silverman had renewed all upcoming lease rolls inthe eight-year-old Stone Gate Plaza just before the sale. Kroger'slease for 68% of the class A retail space doesn't expire until2023.

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McNeill placed the loan with Viewpoint Bank in Plano, which hesays has surfaced as an alternative to the conduit loan fall-out.The bank has five- and seven-year loans available with fixed-rate,non-recourse terms. Three Rivers got a five-year loan at a 6.5%fixed interest and flexible prepayment, McNeill says."Thisparticular borrower wanted so much flexibility with this loan thatViewpoint Bank was the only one that worked," McNeill says.Additional terms are one year of interest-only payments and a30-year amortization schedule.

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The exchange funds, Kroger's long-term lease andcreditworthiness and the asset quality had the right mix that thebank "was willing to give some things to the borrower," McNeillsays. "The lender got a favorable asset at a favorable LTV and theborrower got a flexible loan, making it a win-win for bothparties."

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