Marcus & Millichap Capital Corporation has arranged acquisition financing for a retail asset in Troy, Michigan, underscoring lender interest in stabilized, well-located neighborhood retail. Todd Phillips, a managing director in the firm’s Raleigh office, secured a $25 million loan for the purchase of a 62,364-square-foot retail property at 700 West Big Beaver Road.
The financing was placed with a national bank for a seven-year term, carrying a 6.125% interest rate and a 30-year amortization schedule. Proceeds are being used to support the buyer’s acquisition of the property, which is leased to a roster of national restaurant and retail tenants. The tenancy profile and operating performance were positioned as key strengths in obtaining the long-term, fixed-rate debt.
The property benefits from a highly trafficked location near Interstate 75, providing regional access and strong visibility along a major thoroughfare in Troy. The visibility and traffic patterns around the site contribute to tenant demand and support the case for durable cash flow at the center.
Phillips noted that the financing outcome reflects the combination of location quality and tenant mix at the property. He emphasized that the structure provides the borrower with attractive, long-term debt aligned with the client’s acquisition strategy for the asset.
The retail property is situated within the City Center office complex at 700 West Big Beaver Road, a 13-story, 297,530-square-foot mixed-use tower that has undergone extensive renovations. According to the announcement, the broader complex is approximately 95% occupied, highlighting the overall stability of the location. The integration of retail within a largely leased mixed-use environment further supports traffic for the property’s restaurant and retail tenants.
The transaction illustrates that national banks remain active providers of senior debt for multi-tenant retail in established suburban locations, particularly when supported by strong occupancy, national credit tenants, and demonstrated trade area demand. The combination of a multi-year term, amortization, and pricing at 6.125% positions the borrower with predictable debt service over the near to medium term.
