3650 REIT Originates $95M Loan for California Retail Center


La Habra Associates has nabbed $95 million to refinance a 375,000-square-foot shopping center in La Habra, Calif., Commercial Observer can first report. 

3650 REIT originated the loan. The sponsors sought to refinance the existing bridge loan on the asset, and also fund reserves for the continued improvement of the center. 

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Steve Bram and David Pascale of George Smith Partners advised the borrower in the transaction. Real Property Venture Capital identified 3650 REIT and executed the transaction on behalf of the Borrower.

“Despite the many challenges in making a loan for retail real estate, Jonathan Roth, Ken Dickey, and their team delivered what they promised,” said Eric Sahn, CEO of Real Property Venture Capital.

Located at 1641 Imperial Highway, the shopping center is situated in the northwestern section of Orange County, Calif., approximately 20 miles southeast of downtown Los Angeles. The tenancy at the center includes Sprouts Farmers Market, Smart & Final, Ross Dress for Less, Regal Cinemas, Esporta/LA Fitness, Ulta Beauty and several national restaurant chains including Chick-fil-A, Red Robin, Wendy’s and Starbucks

3650 REIT has been keeping busy across the lending spectrum. It recently lent $60.5 million on Hunington PropertiesThe Vic on Park Row, a 363-unit multifamily property spanning two four-story buildings in Houston.

The asset is at 18210 Park Row in Houston’s Energy Corridor, which is the second-largest employment center in the region, with more than 94,000 people working there for more than 300 companies including BP America, The ConocoPhillips Company  and Shell Oil.

Developers of The Vic on Park Row plan to feature amenities that include game room, entertainment area, business center, conference room, fitness center, club room, bowling alley, outdoor recreational area with a pool, BBQ space, covered cabanas, dog park and playground. 

In total, 3650 REIT originated over $1.45 billion in loans in 2021. 

“We invested in a wide variety of property types backed by capable sponsors throughout 2021, taking a hands-on, bespoke approach to each project,” Jonathan Roth, co-founder and managing partner of 3650 REIT, told Commercial Observer. “In 2022, 3650 will continue its differentiated strategy of unlocking the value of trapped equity for borrowers already invested in projects via our preferred equity investment platform, while originating other high-quality bridge and long-term loans ​​ all while remaining committed to building long-lasting borrower relationships and investing in fundamentally strong transactions.” 

Hunington Properties officials did not immediately respond to a request for comment.

Update: This story originally misattributed source material. This has been corrected. We apologize for the error.

Emily Fu can be reached at: EFu@commercialobserver.com