NEWPORT BEACH, CA (October 16, 2018) – NorthMarq Capital’s Los Angeles regional office arranged $4 million in construction financing for a 28,400 sq. ft. industrial property in Arvada, Colorado. John Marshall, vice president, arranged senior and subordinate financing that provided the sponsor with capital for 90 percent of total project costs, inclusive of development fees and leasing commissions.
“NorthMarq was able to provide financing options that included a participating construction loan through a correspondent life company, a joint-venture option, and multiple mezzanine loan options layered below bank debt,” said Marshall. “My client recognized that the market for subordinate construction debt, even in small check sizes, remains extremely aggressive. They chose a solution that offered a blended coupon marginally more expensive than traditional bank financing and significantly cheaper than syndicated or joint-venture equity.”