Real estate development firm Stark Enterprises received a $102 million mortgage from Citigroup for a multi-tenant strip mall in North Canton, Ohio, Commercial Observer can first report.
The debt from Citigroup will be securitized in the commercial mortgage-backed securities market, and carries a 10-year term with a rate of 4.75 percent, a source with intimate knowledge of the deal told CO.
The retail property, The Strip, is at 6338-6765 Strip Avenue NW and has one mile of frontage along Interstate 77. The stores total 786,000 square feet with tenants including Wal-Mart, Lowes, Old Navy, Bed Bath & Beyond, Starbucks Coffee and Panera Bread, according to marketing materials from Stark. The shopping center is fully leased.
Meridian Capital Group’s Drew Anderman and Ben Nevid negotiated the deal on behalf of the borrower.
“CMBS lenders competed for this loan after Meridian made a market for this credit by highlighting the quality of the fully leased asset and sponsorship,” Mr. Anderman said in prepared remarks.
Stark, which is based in Cleveland, has more than 7 million square feet of retail, office, hotel and multifamily properties in its portfolio.
A spokesman for Citigroup declined to comment. A spokeswoman for Stark did not respond to a request for comment.—Danielle Balbi