RealtyMogul.com, an online marketplace for real estate investing, announced on Monday that it has successfully funded a $2 million bridge loan for a single-tenant property in Opelika, Alabama. The loan has a 12-month term, represents 61 percent of the property’s value, with proceeds being used to refinance an existing life company loan that reached maturity.
Among other debt and equity commercial real estate investments currently available on the platform, RealtyMogul.com investors were offered the opportunity to invest in fractionalized shares of this investment with projected monthly distributions. The borrower, TenCal, LLC, plans to utilize the bridge loan to refinance the 100 percent leased, 47,101-square-foot industrial building with desirable refrigeration facilities. The Walker Street Building is occupied and leased to a longstanding tenant, Adams Beverages.
Located 10 miles east of Auburn University, the property serves as the headquarters and distribution center for Adams Beverage, the sole Anheuser-Busch distributor since 1937 with exclusive distribution rights to the Auburn-Opelika market, including Auburn University (25,000 students). Auburn University is the third largest university in the state of Alabama and is one of the top members of the highly competitive Southeastern Conference (SEC).
The Auburn-Opelika area is a hub for development and production of new technology such as aviation components. The project is designed to provide capital to temporarily refinance the Walker Street Building until new lease terms are negotiated and the property is ready to secure longer-term conventional financing.
“We are excited to be working with TenCal, LLC, who specializes in the management of industrial properties. The property was built specifically for the tenant, Adams Beverages, who has been in the building for over 20 years. This loan represents an opportunity for our investors on our platform to invest in a desirable short-term first trust deed position, we pride ourselves in offering a variety of different passive commercial real estate investments that reflect the entire capital stack.”
Ted Schwartz, Principal at TenCal, LLC., added:
“RealtyMogul.com provided a very professional loan processing and closing experience.”
Have a crowdfunding offering you'd like to share? Submit an offering for consideration using our Submit a Tip form and we may share it on our site!