CIP Real Estate is pleased to report its success in refinancing six properties over the past twelve months. The total amount of the loan closings was 52,700,000 and in each case the interest rate was reduced by 100 to 150 basis points. Listed below are the metrics for each transaction:
East Sahara Commerce Center: $5MM loan amount + $75K reserve; 3.35% fixed; 5 year term; full IO.
Indiana Business Park: $10MM loan amount + $300K reserve; 3.05% fixed with a swap; 5+1+1 term; 4 years IO; $62,860 return of capital.
Collins Business Center: $5.7MM loan amount; 3.85% fixed, 5 year term; 3 years IO; $1,225,000 return of capital.
Rincon Industrial Park: $3,850,000 loan amount; 3.35% fixed; 5 year term, full IO.
Brook Hollow Center: $20.7MM loan amount; 3.90% fixed; 5 year term; 3 years IO; $6,159,000 return of capital.
Pleasantdale Industrial Park: $7.45MM loan amount + $517K reserve; 2.40% floating; refinancing underway.
CIP was very proactive in the prior year in pursuing loan restructurings on these industrial park assets, in order to take advantage of the extraordinarily aggressive debt markets. The interest rates are at absolute historical low levels and loan terms have never been as flexible and attractive. In all cases, the lower interest rates generated improved cash flow to our investors and allowed for return of capital to be redeployed in other investment opportunities.
About CIP Real Estate LLC
CIP Real Estate LLC is a full-service real estate investment company focused on the acquisition, repositioning, re-branding, and management of industrial assets throughout West Coast, Southeast, and Texas markets. Founded in 1995 and based in Irvine, CA, the company owns and manages approximately 6.7 million square feet of quality properties, with offices in Ontario (CA), Riverside (CA), Hayward (CA), Las Vegas, Charlotte, and Atlanta. www.ciprealestate.com