LOS ANGELES–(BUSINESS WIRE)–Archway Capital LLC, a national commercial real estate bridge lender, has provided a $42.9 million loan to Steerpoint Capital for the acquisition of a major portion of The Shoppes at Carlsbad. Located at 2525 El Camino Real in Carlsbad, Calif. (north San Diego County), the coastal, 98-acre retail property totals 1.1 million square feet (sf).
The portion that was acquired totals 727,000 sf and is currently 74% occupied with a tenant mix including Yard House, The Cheesecake Factory, Hollister, American Eagle Outfitters, Dave & Busters, 24 Hour Fitness, and Regal, among others. Anchor tenants at the center that were not a part of the sale include Macy’s (North and South) and JCPenney.
This loan marks Archway Capital’s largest and one of the most complex transactions the firm has executed to date.
“Archway is pleased to provide this loan to a repeat borrower who has a solid business strategy of making capital improvements to the asset and executing an aggressive leasing campaign,” said Bobby Khorshidi, CEO and CIO of Archway Capital. “We won the business because the borrower trusted us to move fast, stay flexible, and valued our successful track record of excelling at complex and dynamic transactions.”
He added, “Unlike traditional banks that are beholden to rigid underwriting standards, we customized this loan, got comfortable with the risk profile, and offered a non-recourse structure which is rare for deals of this size and complexity. This transaction is a prime example of how Archway is able to fulfill a unique need in commercial real estate finance that is often overlooked by banks.”
The borrower allocated and capitalized $4 million for improvements to the property including upgrading the entrances, enhancing common area seating, adding digital signage, and bathroom renovations.
The Shoppes at Carlsbad was renovated in 2017 and is an affluent, densely populated, highly visible area at the junction of Interstate 5 and Highway 78. The property provides a customer-friendly/family-oriented atmosphere that offers a diversity of retail, dining and entertainment offerings.
About Archway Capital
Archway Capital is a direct portfolio lender that makes business purpose real estate loans secured by transitional commercial and residential real estate. Archway principals have impressive track records that include being directly responsible for in excess of $3 billion in combined originations across the commercial real estate lending sector. For more information on Archway Capital’s current offerings and the firm itself, please visit ArchwayFund.com.
Contacts
Media Contact:
Darcie Giacchetto
Places Public Relations
Email: [email protected]
