LOS ANGELES-A note secured by an apartment complex in SantaMonica has sold for 80 cents on the dollar, and a note on amixed-use project in San Pedro has sold for 32 cents on the dollar,according to principal Matt Ayer of Agoura Hills-based RcmaGroup.Ayer tells GlobeSt.com that in both cases the buyer of the noteintends to gain control of the underlying collateral.

The property in Santa Monica is a 20-unit complex, and the notesold for what equated to a 5.5 gross rent multiplier on currentrents, according to Ayer. He says that the buyer’s plan is toforeclose on the property, which was built in the 1970s and is 90%occupied. The property owner acquired the complex about four yearsago, and the reason the note was on the market was that theSouthern California-based bank has already said that it won’trefinance when the loan comes due next year, Ayer explains..

The mixed use project in San Pedro consists of multifamily unitsover about 6,500 square feet of retail developed by an owner whowent bankrupt. The buyer of the note, which was held by a SouthernCalifornia bank, plans to complete what the original developerbegan.

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