LAS VEGAS-Talisman Cos. has landed a $141-million financing package from Capmark Finance Inc. for the Fashion Outlets, an upscale 371,000-sf shopping center attached to Primm Valley Resort and Casino located 36 miles south of here in Primm, NV. The package includes a five-year, fixed-rate senior debt on the existing improvements; preferred equity; and a standby five-year construction mezzanine loan to facilitate the eventual expansion of the property.
The financing enabled Talisman to buy out its institutional partner, an affiliate of Goldman Sachs, and position itself to expand the property, according to the loan originator, Scott Crimmins of Capmark's New York City office. When pre-leasing is complete, Talisman plans to expand the existing 371,600-sf center by 150,000 sf.
This is the third time Capmark has financed the property. Its first financing was a bridge loan associated with Talisman's acquisition of the property in 2000, which was 50% leased at the time. Capmark then funded the permanent financing after Talisman stabilized the asset.
"The property is now 99% leased and has seen sales increased by 100%under Talisman's ownership," says Crimmins. The center is now one of the top 10 outlet centers in the US, based on sales, he says.
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