Tower Capital assisted in the successful assemblage of seven (7) parcels totaling 2.14 acres in Phoenix, Arizona. The parcels are located approximately 1.5 miles south of the prestigious Biltmore Esplanade and Biltmore Fashion Park. The borrower plans to entitle the property for a higher density townhome project.

The site currently consists of one 12-plex and five triplexes, all fully leased. The project was underwritten as a standard multifamily transaction with loan proceeds supported by the in-place cash flows produced by the combined 27 units. These cash flows will also benefit a future developer during any preconstruction phases.

Tower Capital ensured our client obtained the loan proceeds they were seeking by proactively working with both the lender and appraiser to provide sale and rent comparables, capitalization data, and guiding the underwriting process. The absence of a prepayment penalty provides the borrower with the flexibility to sell the property to an end-developer at any point in time in the future.