Dealmaker: Grandbridge Closes $117M in Retail, Multifamily, Office Loans

Grandbridge Real Estate Capital, Charlotte, N.C., secured $116.7 million for a Hilton Head Island, S.C. retail center, an Iowa City, Iowa multifamily property and a Santa Ana, Calif. office property.

In South Carolina, Grandbridge’s Greenville office Co-Managers Bill Mattice and Phillip Cox originated $38 million secured by Shelter Cove Towne Centre, a 272,000-square-foot lifestyle and grocery-anchored shopping center on Hilton Head Island.  

Southeastern Development Assocs., Augusta, Ga., refinanced the property. New York Life, New York, funded the 10-year loan with two years of interest-only payments and a 30-year amortization schedule.

Grandbridge also closed a $43.7 million construction/renovation loan secured by an Iowa City student housing property. Minneapolis-based Vice Presidents Brett Olson and Dick Riley originated the transaction.

Property developer The Tailwind Group, Mankato, Minn., will use the 24-month, interest-only loan to convert an existing 400-unit market-rate apartment property near the University of Iowa into a 336-unit Class A student housing community called Quarters at Iowa City. 

Planned work includes renovating 16 existing buildings, building eight new buildings and a new two-story clubhouse. Quarters at Iowa City will open in August 2017.    

In Santa Ana, Grandbridge Senior Vice President Shelley Magoffin and Assistant Vice President Mack Mower originated $35 million for 3 Hutton Centre, a 198,000-square-foot multi-tenant office property. The property is part of the mixed-use master-planned commercial development called Hutton Centre, which includes 1.2 million square feet of mid- to high-rise office towers and a 167-room Double Tree Hotel.

Grandbridge structured a 36-month first mortgage acquisition/bridge loan that meshed with the client’s current and future needs, Magoffin said. The initial term will be three years, with two one-year extension options.

Magoffin said the loan will provide holdbacks to cover future fundings because the sponsor intends to invest in capital expenditure improvements as well as fund tenant improvements and leasing commissions.