Talonvest Sets $60M in Self-Storage Refis

IRVINE, CA-Talonvest Capital Inc., a national boutique self-storage and commercial real estate advisor, has recently structured, negotiated and closed self-storage acquisition and refinance assignments totaling $60.6 million. The portfolios are located across the country.

Security Self-Storage hired the firm to procure $42.05 million in financings for a Kansas portfolio, a Texas portfolio and stand-alone assets in Colorado and Georgia. The non-recourse, fixed-rate loans, placed and funded by Talonvest principals Tom Sherlock and Jim Davies, along with Laura Bogart, provided cash out to the ownership and were funded by a US-based banking giant.

According to Security principal Steve Clark, “Talonvest has decades of experience in self-storage finance, but they really differentiate themselves through personal attention and the trusted advisor relationships built by the principals of the firm.”

Also, Zeune Construction & Development hired Talonvest to represent its interests in a self-storage financing after having had a successful interaction on a portfolio last year. The recent assignment, met by Talonvest principal Eric Snyder, was for a $4.425 million loan secured by a Michigan facility. A competitive bid was orchestrated on behalf of the client, resulting in a maximum-leverage loan with an aggressive debt yield.

Lastly, Simply Self Storage turned to Sherlock and Davies once again for a portfolio acquisition financing assignment involving a 21^st Century portfolio with assets in New Jersey and Maryland. A European bank funded $14.2 million of acquisition financing on a five-year term with a fixed rate and interest-only payments for the full loan term. The loan involved a full-term, interest-only provision, as well as a relatively high loan-to-value ratio, advantageous cash-management provisions and partial releases for new ownership.

Regarding the last transaction, Sherlock comments that “the increased level of competition for permanent loans is best evidenced by the fact that the lender who financed this borrower's prior portfolio acquisition didn't even make it to the top four finalists for this loan.” Davies adds that “the competition resulted in millions of additional loan dollars with a .25% lower rate and a longer interest-only period than originally offered by the lender for the prior portfolio acquisition.”

As GlobeSt.com reported in November 2013, Talonvesthad arranged $62 million in commercial and self-storage loans from a variety of funding sources for eight portfolios across the country. The firm funded $34.7 million in commercial financings and $27.6 million in self-storage loans, structuring and negotiating them for retail, industrial, office and self-storage properties.