Orange County Shopping Center Refinanced With $17M Loan
By Mark Hallum July 28, 2023 11:34 am
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Paragon Commercial Group40|86 Mortgage Capital0"> has refinanced the Village Center shopping center in Fountain Valley, Calif., with a $17 million permanent loan.
San Francisco-based Gantry arranged the financing from 40|86 Mortgage Capital at a five-year, fixed rate for the retail center at 17900 Magnolia Street anchored by a Sprouts Farmers Market, a Rite Aid and a Dollar Tree, according to the brokerage. The fresh debt will retire the bridge financing that existed on the property.
“Nothing has been easy to finance in the current market climate, but we have had great success at Gantry in funding loans for suburban grocery-anchored retail with our correspondent insurance companies,” Gantry’s Braden Turnbull, who represented Paragon with George Mitsanas and Austin Ridge, said in a statement.
40|86 Mortgage Capital did not immediately respond to a request for comment.
The Los Angeles-based Paragon used the initial bridge loan to acquire and make improvements to the Village Center, and upon completion of those tasks set out to find a refinance deal with interest-only terms until it reaches maturity, Turnbull said.
“The sponsor is now stabilized for a legacy hold after working with Gantry to identify a viable structure to capitalize on the center’s improved performance and strong local market fundamentals,” Turnbull said.
It is unclear who the lender is as well as the value of the existing bridge loan.
Mark Hallum can be reached at mhallum@commercialobserver.com.
