Essex Financial Group arranged a $29 million permanent loan to finance Heritage I & II, an office property located in North Dallas. The Borrower purchased the 367,682 square foot asset in May 2021 in an all-cash transaction. Occupancy at the time of purchase was 73% and the Sponsor has since invested significantly in the leasing, bringing it up to 83% within the first 120 days. The property had recently undergone $7.1M in renovations and upgrades prior to the change in ownership.
Essex placed the non-recourse permanent loan with a prominent national insurance company. The 7-year loan features a competitive fixed interest rate with one year of interest-only, followed by a 30-year amortization. The loan also incorporated minimal structure for on-going leasing dollars.
- Capital Source: Life Company
- Purpose: Acquisition
- Loan Amount: $29,000,000
- Interest Rate: 2.81%
- Loan Term: 7 Years
- Amortization: Interest-only for 1 year, followed by a 30-year amortization
- Recourse: Non-recourse