PACT Capital arranged the $10.7 million financing for a Florida retail center with 107,000 square feet of net rentable space. Image via PACT Capital
Written by Frank Lopez
PACT Capital, a commercial real estate capital advisory firm, announced it arranged the acquisition financing for a multi-tenant retail center in Melbourne, Florida.
The property has 107,000 square feet of net rentable space with a 14% vacancy rate at closing and a roll of numerous tenants paying significantly below market rents, according to a news release from PACT Capital. The financing amount was $10.7 million.
Headquartered in Beverly Hills, PACT Capital also has a Fresno office headed by Adam Mortanian and Tyler Shegerian, co-founders and managing directors.
The property is located in a high-traffic area within the Melbourne Metropolitan Area.
It features anchor tenants including Ross Dress for Less, Bealls and a newly opened Michaels, and an outparcel ground-leased to Panera Bread.
The acquisition financing was finalized in concert with the borrowers 1031 Exchange along with a $10.7 million bridge loan at 65% of purchase price for a 12-month term with no prepayment penalty.
PACT Capital faced various hurdles to overcome with the transaction, including a six-member Tenancy in Common ownership structure, expiring 1031 Exchange tax timelines and property insurance.