NorthMarq Capital Arranges Financing for Tower Park North in Houston
- Apr 08, 2016
By Adelina Osan, Associate Editor
Houston—NorthMarq Capital’s Houston office recently arranged the acquisition financing for an 181,000-square-foot office building in located at 10700 North Freeway in Houston. Warren Hitchcock, vice president of NorthMarq Capital’s Houston, arranged the acquisition financing for Tower Park North.
The short-term bridge transaction was aggressively structured with a four-year term with extension options on an interest-only basis. The non-recourse nature of the loan combined with an attractive fixed-rate, creative structure, and earn-out potential met all the borrower’s demands on this acquisition financing.
“NorthMarq successfully financed this Greenspoint Office Building during the worst of the oil price collapse with one of our correspondent fixed-rate bridge lenders,” said Hitchcock in prepared remarks. “Despite this property being located in one of the more challenged submarkets, oil dropping below $30 per barrel, and the occupancy at closing moving under 20 percent, NorthMarq and its lending relationship were able to close as promised with a fixed-rate non-recourse bridge loan. This loan will allow the new owner to improve the property, renovate the building, add parking, as well as earn-out TILC funds, capital expenditure funds, interest reserves, and cash flow shortfall reserves without any interest paid until the funds are drawn down upon and used.”