REDLANDS, CA-Commercial real estate investment banking firmGeorge Smith Partners has successfully arranged $12.8 million inFreddie Mac financing and a $16.6 million sale for a 198-unitclass-B multifamily property here. The 198-unit multifamilycomplex, Citrus Grove Apartments, is adjacent to the University ofRedlands, and has historically seen strong performance, oftenoutperforming other similar properties within its own market.

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According to David Rifkind, a principal and managing director ofGSP, “George Smith Partners was able to utilize their correspondentrelationships with Freddie Mac to provide the financing, despitethe fact that some lenders and investors view the Inland Empire asa market full of distressed and undesirable property.” The interestrate was 5.18% fixed for 10 years with 2 years of interest only,then a 30 year amortization.

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“The investor had great foresight to understand the microdynamics of not only the Redlands market, but also of thisproperty’s position within that market,” adds Steve Bram, aprincipal and managing director at GSP. “And they worked around theclock to review the due diligence to commit to move forward.”

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During the contract period, the original buyer, a George SmithPartners’ client, unfortunately had lost his source of equity andcame to George Smith Partners to also find a new equity partner ora buyer to purchase his position, according to a preparedstatement. GSP could not disclose the original buyer’s identity atthis time.

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George Smith Partners immediately introduced the originalsponsor to another GSP client, a West Los Angeles- based investorwith property both locally and nationally, who was able to close inthe required 35 days. GSP also could not disclose the identity ofthe investor.

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“This made the property a very attractive investment that willbe stable long term and have great potential for growth,” Rifkindadds. “The challenge lay in the fact that the institutional sellerhad only provided the buyer a very short, five-week deadline toclose this loan.”

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Natalie Dolce

Natalie Dolce, editor-in-chief of GlobeSt.com and GlobeSt. Real Estate Forum, is responsible for working with editorial staff, freelancers and senior management to help plan the overarching vision that encompasses GlobeSt.com, including short-term and long-term goals for the website, how content integrates through the company’s other product lines and the overall quality of content. Previously she served as national executive editor and editor of the West Coast region for GlobeSt.com and Real Estate Forum, and was responsible for coverage of news and information pertaining to that vital real estate region. Prior to moving out to the Southern California office, she was Northeast bureau chief, covering New York City for GlobeSt.com. Her background includes a stint at InStyle Magazine, and as managing editor with New York Press, an alternative weekly New York City paper. In her career, she has also covered a variety of beats for M magazine, Arthur Frommer's Budget Travel, FashionLedge.com, and Co-Ed magazine. Dolce has also freelanced for a number of publications, including MSNBC.com and Museums New York magazine.