Dealmaker: Pacific Southwest Realty Services Closes $95M

Pacific Southwest Realty Services, San Diego, closed $95 million for a medical office building portfolio and an industrial center.

PSRS Principal David Hamilton closed $89 million in portfolio financing on eight medical office buildings located nationwide. The financing was arranged on behalf of a large medical office landlord and funded by one of PSRS’ commercial mortgage-backed securities lenders.

PSRS achieved a cash-out refinance on the borrower’s existing portfolio, reducing the equity need for the new acquisitions. The firm also provided the sponsor maximum leverage and incorporated three years of interest-only with a non-recourse structure.

PSRS Principal Kostas Kavayiotidis and Vice President Jacob Lee arranged $6 million to refinance Phoenix Commerce Center, a six-building industrial center in Phoenix. The subject property totals 131,000 square feet.

A life insurance company lender supplied a non-recourse, fixed-rate, 20-year loan with 20-year amortization. “This is a unique loan product that gives the borrower a fixed rate throughout the life of the loan and ends with the property free and clear,” Kavayiotidis said.