Hwy 911 Apartments & Mini Storage
StackSource recently arranged acquisition financing for a mixed use apartment and self storage property located in Oak Grove, KY. The property features 48 apartment units and 86 self storage units and the sponsors plan to add value by increasing rents and occupancy in both the apartment and storage units. The sponsorship team is a group of experienced investors that acquire underperforming assets and add value by making capital improvements to the property, increasing occupancy and rents and reducing and streamlining operating expenses.
Chris Peters, Director of Inbound Originations, structured an acquisition loan from a regional bank lender that provided a 3-year fixed rate loan with a 7.85% interest rate and 12 months of interest only payments followed by a 20-year amortization. The loan also has no prepayment penalty which will allow the sponsors to lock in a lower rate once the property is stabilized.