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STAFFORD, TX-An investment group from La Quinta, CA has made its second net-lease acquisition in the Greater Houston area, paying close to $15 million for a 145,120-sf light manufacturing facility that is fully leased to Flextronics International Ltd.

Buyer of record, Melanie Stafford Ventures LLC, purchased the 10900 Cash Rd. property from Austin-based AIC Ventures. “Like a lot of California buyers, these investors are finding it hard to place their capital at home,” says Todd Hoover, a vice president with L.J. Melody & Co.’s San Diego office. “And for some reason, Houston has a lot of these single-tenant, triple-net properties.”

Hoover says Melanie Stafford Ventures teamed 1031 exchange funds from the sale of a single-tenant office building in California with a $10.5-million permanent loan to acquire the three-year-old building on 13 acres, a tract large enough to hold another 90,000 sf of development. New York City-based Bear Stearns Commercial Mortgage Inc. provided a seven-year loan with a fixed-rate interest of 5.41%. The loan has a 30-year amortization schedule with the first three years on an interest-only basis.

“In general, lenders don’t like to lend for single-tenant buildings unless the deals are lower leverage,” Hoover says. “We didn’t have any trouble getting this deal financed because the borrowers weren’t going for high leverage and the lease had a decent term on it.” Flextronics’ lease runs through 2015.

Hoover tells GlobeSt.com that Bear Stearns “put up a deal that blew everyone away.” He says the lender was in line to provide financing on the Flextronics building for another buyer, but the deal fell through. When Melanie Stafford Ventures put the property under contract, Bear Stearns again stepped up to the plate, says Hoover, who teamed with L.J. Melody’s Bill Chiles in San Diego and Tom Fish in Houston to package the financing.

In March, the California group spent $13.3 million for a 222,000-sf industrial building on 11 acres at 6400 Hollister St. The Northwest Houston facility is net leased to Corporate Express Inc.

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