90,000 sf Medical Office building
Highland arranged a $43,500,000 permanent loan with an insurance company. Even though the newly constructed building was not yet fully leased and stabilized, the interest rate was fixed for 11 years at a competitive rate, with 1 year of interest only payments. The lender held back reserves for TI’s and leasing commissions for the remaining vacant space. The loan provided significant cash out to the borrower, as well as an earn out feature allowing the borrower to increase the loan to $47,500,000 if certain performance hurdles are met.