Alvernon Manor is an 86 unit “C” class multifamily property built in two phases completed in 1964 and 1970 and is located in Tucson Arizona. The property was a legacy asset that had suffered from years of neglect and was not performing to its full potential. Seeing an opportunity, Tower’s client, an experienced Los Angeles-based investor, has acquired the property with a plan to renovate and lift rents and occupancy. The very flexible prepayment schedule allows the borrower to stabilize the property and either sell or refinance to provide cash back to themselves and their investors within a relatively short timeframe.

The age of the property, submarket location, small loan size, and need for maximum prepayment flexibility limited the lender pool substantially. By utilizing its numerous relationships with active local lenders, Tower Capital was able to meet its client’s investment goals and objectives for this asset.