James DuMars, managing director/senior vice president of NorthMarq Capital’s Phoenix-based regional office, arranged $52 million (the aggregate of all individual loans) on the refinance of the 19 shopping centers and 3 commercial properties, totaling 1.5MM square feet, located throughout the Phoenix Metropolitan Area.
The financing of the portfolio was structured amongst three institutional lenders.
“These assets are extremely well maintained, in excellent locales and many are 100% occupied,” said DuMars. The sponsor in the transaction is the highly respected owner/ operator Michael A. Pollack. “This was a unique loan request as it was at an extremely low leverage level with some of the assets financed at 18% LTV with debt service coverage ratios as high as 9X. Pollack is in an enviable position as he’s continued to upgrade his properties and pay down his debt to the extremes during the past several years. “The lenders absolutely love Michael as he runs his properties well and never had any problems whatsoever during the financial crisis. Michael saw the US Ten Year hit a low point, called and said lets lock these in,” states DuMars.