Chicago, IL – February 13, 2015 – American Street Capital (“ASC”) announced today that it has arranged $1.7 million in financing for a hospitality property in Chicago, IL. The transaction closed in January, 2015.
ASC worked exclusively on behalf of their client to secure an acquisition and development loan for a mixed-use property to be converted into a start-up vocational rental by owner (“VRBO”) business. The loan was a challenge due to the high leverage requirement of the sponsors, the limited industry experience of the sponsors in Chicago, the need to completely reposition the asset, and the start-up nature of the business. ASC successfully secured an SBA loan with a correspondent lender that provided a desirable loan structure that included all required construction and FF&E proceeds, a long-term fixed rate, and at a significantly higher leverage than traditionally available from other lenders in the submarket.
The loan was originated by Igor Zhizhin, the President of ASC.
About American Street Capital
American Street Capital (“ASC”) is a Chicago-based national commercial real estate finance firm with correspondent lending relationships specializing in securing balance sheet and CMBS loans for multi-family, mixed-use, student housing, mobile home parks, assisted living, hospitality, retail, office, owner-occupied properties, and traditional investment properties. With its diverse correspondent relationships ranging from private lenders to government agencies, ASC offers a consultative, customized approach to sourcing commercial real estate debt that is unique among its competitors. Focusing primarily on the more challenging transactions in the small balance segment for loans up to $30MM, ASC has established a national reputation of offering best in class customer service and loan structures that historically were exclusively available to large balance institutional clients. Further information is available at www.amstcap.com. Follow American Street Capital on Twitter @AmericanStCap.
American Street Capital