Inland Mortgage Capital is pleased to announce the closing of a $6,500,000 non-recourse bridge loan on a retail property in Corona, CA. The Loan-To-Cost was 80%. The 31,700 SF multi-tenant retail center is shadow-anchored by a regional grocer, which has been at the site since 1976. The collateral consists mostly of small shop tenants and a former drugstore tenant, who vacated right before closing. The location is in a very densely populated area in southern California.
Aspects that attracted IMC to the Borrower’s story included the experienced Sponsor, the fact that six out of the eight small shops have been in occupancy for a long time, and the Borrower’s ability to back fill the former drug store space with a national fitness center tenant, prior to closing.
IMC was able to overcome the minimal DSCR at closing by the procurement of the new tenant. An interest reserve, leasing reserve, and Cap Ex reserve was structured to facilitate stabilization of the asset. No interest will be due on the future advances until they are disbursed.
IMC has a long history with the Sponsor, having closed on roughly nine loans over the last decade.