Gantry, the largest independent commercial mortgage banking firm in the U.S., has secured a $53.4 million permanent loan to retire construction debt for the first phase of a multi-phase retail project. The Village at Prasada, a 700,000-square-foot retail power center, is located at the intersection of Waddell Rd and Loop 303 in Surprise, Ariz., a fast-growing suburb northwest of Phoenix. Phase One of Prasada encompasses 308,640 square feet and is currently 100% leased to a total of 31 tenants, with major anchors including Sprouts, Ross, HomeGoods, Marshalls, ULTA Beauty, Total Wine, PetsMart, TJ Maxx, and Floor & Décor.
Gantry’s Tim Storey, Principal, Chad Metzger, Senior Associate, and Ryan Gross, Associate, with the firm’s Phoenix production office secured the funding on behalf of the borrower, a private real estate investor. The 7.5-year, fixed rate loan was placed with an institutional global financial services firm. Gantry will service the loan on behalf of the lender, a Gantry correspondent.
According to Gantry’s Tim Storey, “Suburban retail centers have performed consistently in recent years and our top correspondent lenders continue to compete for allocations to the sector. For a project like Village at Prasada, fully leased to a crop of nationally recognized anchors at a location directly in the path of continued population and economic growth in the greater Phoenix region, we were able to review the requirement across the full roster of our capital sources. We ultimately landed on an attractive fixed-rate loan offering from one of our premier correspondents. Retail, like multifamily, industrial, and self storage, continues to shine as an asset class worthy of the best rates currently available in today’s capital markets.”