March 28, 2018
Meridian Capital Group, America’s most active dealmaker, arranged $27.8 million in acquisition financing for the purchase of a three-property multifamily portfolio in Escondido, CA, on behalf of Clear Sky Capital, Inc.
The three-year initial loan term, provided by a balance sheet lender, features full-term interest-only payments with two one-year extension options. This transaction was negotiated by Meridian Managing Director, Seth Grossman, and Vice President, Sarah Kuebler, who are both based in the company’s San Diego, CA office.
The Clear Sky Capital portfolio consists of three multifamily properties, totaling 193 units and offers a mix of studio, one-, two-, and three-bedroom apartments. The Grand Villa, Tanglewood, and Garden View are located in one of San Diego County’s oldest cities and are in close proximity to each other, as well as major transportation routes, including the Interstate 15 Expressway, the Escondido Freeway, and San Pasqual Valley Road. Ideally situated near restaurants, cafes, and shopping centers, residents of all three properties enjoy a vibrant arts and cultural scene in Escondido and may also travel 30 miles south to discover Downtown San Diego’s bars, night clubs, upscale dining, and entertainment.
“Meridian was able to demonstrate the value-add potential of each property through unit and common area renovations to achieve higher rents, while also highlighting the sponsor’s ability to lower expenses as they have successfully done many times in the past with similar vintage assets,” said Mr. Grossman. “Our client sourced this unique off-market opportunity to acquire 193 units in a high-growth market and the negotiated financing should assist them to effectively execute their business plan.”
Founded in 1991, Meridian Capital Group is America’s most active deal maker and one of the nation’s leading commercial real estate finance and investment sales firms. In 2017, Meridian closed over 3,000 debt transactions across more than 200 unique lenders and sold nearly $1 billion in commercial property. Since inception, the company has closed more than $300 billion in financing with the full complement of capital providers, encompassing local, regional and national banks, CMBS lenders, agency lenders, mortgage REITs, life insurance companies, credit unions and private equity funds. Meridian represents many of the world’s leading real estate investors and developers and the company’s expansive platform has specialized practices for a broad array of property types including office, retail, multifamily, hotel, mixed-use, industrial, healthcare, student housing and self-storage properties. Meridian is headquartered in New York City with offices in New Jersey, Maryland, Illinois, Ohio, Florida and California. www.meridiancapital.com