LOS ANGELES-The Balcony at Beverwil shopping center has received a $28 million loan to pay off its outstanding principal and to use toward the payment of a defeasance. Allstate Insurance financed the 10-year loan, able to provide the larger dollar sum with a 70% LTV threshold that life companies were unable to provide.

Seth Ludwick, VP at Pacific Southwest Realty Services, secured the loan for the center. “The leverage alone made it difficult for most life companies to reach the requested proceeds,” Ludwick tells GlobeSt.com. “Allstate understood the irreplaceable nature of the real estate and was comfortable with the level of investment from the borrower. Allstate ultimately offered more proceeds than any of its competitors along with a great spread. The new loan saves the borrower more than $25,000 per month on debt service.”

The 75,000-square-foot center has two long-term anchor tenants, Ralphs and CVS. Ralphs is currently undergoing a $5 million renovation, adding a Kosher Experience section and Starbucks coffee stand. According to Ludwick, the grocer hopes the renovation will help sluggish performance and attract the surrounding demographics.