$50MM Recapitalization | Miami, FL

Eyzenberg & Company structured and placed a fixed-rate 5-year term loan to refinance a $50MM retail center in Miami, Florida.

Challenges
With an expiring loan in an anticipated soon-to-be declining interest rate environment the sponsor was reticent to refinance into a long-term fixed-rate option. The Borrowers legal status and unwillingness to bring new deposits to initiate a banking relationship, lack of a grocery anchor and near-term major tenant roll made flexible non-recourse term financing a challenge to obtain.

Solutions
Eyzenberg & Company after a broad marketing effort to banks and insurance companies awarded the deal to a CMBS originator familiar with the property. The lender was able to fast track the closing and work through tenant renewal issues by structuring a substantial holdback contingent on obtaining an extension. Furthermore a rate buy down was initiated to arbitrage the inverted yield curve and the 5-year term closed at a very attractive rate.

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