Paul Schroeder, Principal at Barry Slatt Mortgage, recently closed three transactions collateralized by 3 office buildings located in the South Bay. All three assets are not cross collateralized.
Schroeder placed the 10-year fixed rate loan with 20-year amortization and very competitive interest rate of 3.57% through one of Barry Slatt Mortgage Company’s correspondent Life Company. Barry Slatt Mortgage will be servicing the loans as part of their servicing portfolio. One of the challenges were the ages of the improvements.
Finally, Paul was able to negotiate a flexible prepayment on each loan as this was one of the borrower’s initial requests: YM 1-5; then fixed step-down of 5,4,3,2,1; and after the second loan year, non-cumulative 10% annual prepayment at par.