ABQ Encore – Albuquerque, NM
- Loan Amount: $3,836,000
- # of Units: 129
- Purpose of Loan: Cash-Out Refinance
- Capital Source: Non-Bank Lender
- LTV: 69%
- Term: 2 Years
- Rate: L+620
ABQ Encore is a 129-unit market rate multifamily property located in the heart of Albuquerque, NM. The property was acquired in November 2014 for $3,334,128. At the time of purchase, the property was being operated as a 150 room Ramada Inn. Also included in the sale was a popular onsite restaurant called Sadie’s of New Mexico, currently in operation, and a conference center appurtenant to the property.
Since acquisition, the borrower has performed extensive capital improvements totaling $2.2 million, which includes converting several of the units into 1 bedrooms (leaving 129 total apartment units of which 21 units are 535 SF 1-bdrms and 108 units are 360SF studios), re-platting the restaurant to be on its own parcel with its own utility services, as well as extensive interior and exterior renovations to the apartment building.
The $3.83 million loan provided by a California-based non-bank lender provided cash back to the borrower to pursue future investment opportunities.
About Tower Capital:
Tower Capital is a Commercial Real Estate Finance firm specializing in debt and equity placement on behalf of commercial real estate investors throughout the country. They offer borrowers conventional permanent financing through their commercial mortgage brokerage division, as well as short term bridge solutions through their in-house private money platform.
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