Gantry has arranged a new permanent loan to support the acquisition of Carlsbad Pacific Center, a three-building, multi-tenant office campus in Carlsbad. The financing totals $13.25 million and is secured by the 130,019-square-foot property located at 701, 703 and 705 Palomar Airport Rd. The campus adds to an expanding office portfolio in this ocean fronting submarket.
The borrower, Strauss Investments, is described as an experienced sponsor that is assembling a collection of quality office assets in the area. Gantry previously secured another office acquisition loan for this same sponsor involving properties at 902 and 1903 Wright Pl., underscoring an ongoing capital relationship between the mortgage banking firm and the investor. Both assignments reflect Strauss Investments’ focus on scale and concentration within the local office market.
The latest financing for Carlsbad Pacific Center is structured as a seven-year, fixed rate, non-recourse permanent loan with partial term interest-only payments. While the exact coupon was not disclosed, Gantry notes that the loan carries an attractive fixed rate in the current environment. The structure suggests an emphasis on predictable debt service and flexibility for the sponsor during the interest-only period.
Principal Andy Bratt and associate Sean Kuang from Gantry’s Irvine production office represented Strauss Investments on both of the recent office acquisition loans. Their role included securing the new debt on Carlsbad Pacific Center and the earlier financing on the Wright Pl. assets. Gantry is acting as the mortgage banking intermediary on behalf of the borrower, though the specific lender was not identified.
Commenting on current office capital markets and leasing dynamics, Bratt noted that conditions for the sector are gradually improving. He emphasized that a growing number of lenders are re-engaging in originations for viable office properties, particularly those offering strong locations and quality environments. According to Bratt, ongoing return-to-office trends are evolving in a way that gives well-located, higher-quality office assets a competitive edge in attracting and retaining tenants.
The Carlsbad Pacific Center financing illustrates how debt capital is still available for office assets that meet lenders’ criteria on location, tenancy and asset quality. For Strauss Investments, the new loan supports continued portfolio assembly in a coastal submarket, backed by a structured, fixed-rate financing package tailored to long-term ownership objectives.
