NorthMarq Capital’s Los Angeles office arranges acquisition financing of $7.2 million for Walgreens in Wayzata, Minnesota

LOS ANGELES (February 3, 2017) – Joe Giordani, vice president of NorthMarq Capital’s Los Angeles-based regional office, arranged acquisition financing of $7.2 million for a 15,149 sq. ft. Walgreens located at 1055 Wayzata Boulevard East in Wayzata, Minnesota. The transaction was structured with an 8-year term on a 25-year amortization schedule. NorthMarq arranged financing for the borrower through its correspondent relationship with a life insurance company. The transaction was rate-locked on Election Day at 3.70 percent. Shortly after the election, the rate would have jumped to more than 4.25 percent and the client’s returns would have been too small for them to go through with the acquisition had they not locked the interest rate. This shows the value created by life companies offering to lock the interest rate early in the process. “The loan was done with one of our longest standing life company correspondents,” said Giordani. “To win the assignment we had to produce an actionable and competitive quote within 24 hours and beat the existing loan option the client was considering. We were able to negotiate an 8-year term to provide flexibility in prepayment in year 9 should the borrower want to sell or refinance the property with more than 10-years of lease-term remaining.”