COSTA MESA, CA-Talonvest Capital, Inc. successfully negotiated and closed a $27 million 5-year, fixed rate, full term interest only loan on behalf of a partnership between Kurt O'Brien and an institutional equity investor.

The non-recourse loan, priced at a sub 4% rate, facilitated the acquisition of a 623,000 square foot, nine property self storage portfolio with assets located in Florida, Illinois, New Jersey, and Puerto Rico. The loan, which included individual property release provisions, was funded by an international banking giant. O'Brien commented “Talonvest was instrumental in successfully negotiating my best loan in the new CMBS market.”

Life companies, banks, and conduit lenders are heavily competing to fund loans for experienced self storage operators noted Eric Snyder, principal at Talonvest. He further opined, despite the recent increase in treasury rates, “borrowers will likely benefit by taking action now and capturing today's rate as opposed to waiting until next year in the hopes that rates recede”. Snyder, along with fellow Talonvest principal, Jim Davies, managed the competitive bid process as well as the loan structuring negotiations with the lender on behalf of the borrower.