George Smith Partners successfully secured permanent financing for the acquisition of a 5,666-square-foot luxury, high-street retail parcel located at 909 N. Michigan Ave. in Chicago’s Magnificent Mile Shopping District. The three tenants include Bulgari, Omega Watches, and Burdeen’s Jewelry – a local favorite in Chicago.
Director Robert Horton was able to secure the $14,100,000 loan on behalf of sponsor Blatteis and Schnur Inc., based out of Los Angeles CA. During the closing process, however, bond market volatility due to Silicon Valley Bank and the First Republic caused considerable disruption which had to be navigated before funding could take place..
Horton managed to hold proceeds on the loan despite these disruptions by leveraging lender relationships as well as utilizing appropriate structure throughout this process; ultimately leading up towards successful closure with full-term interest-only fixed rate note for five years from the purchase date at $27,300,000 or approximately $4,818 per square foot from Westin Michigan Avenue Chicago owner.
“We were able to hold firm on proceeds and execution by leveraging our lender relationships and augmenting with appropriate structure,” said Horton regarding this transaction.”
