Dealmaker: Gantry Secures $20 Million to Recapitalize Beverly Hills Saks Fifth Avenue

Gantry, San Francisco, secured $20 million to recapitalize the signature Beverly Hills location of luxury retailer Saks Fifth Avenue. The loan originated with one of Gantry’s correspondent life company lenders and secured on behalf of the private client property owner.

Saks Fifth Avenue Beverly Hills, Calif.

The property is a landmark Saks Fifth Avenue location and sits on Wilshire Boulevard in proximity to the Rodeo Drive shopping district. Saks Fifth Avenue Men’s and Bridal Departments occupy the entire building, while remaining departments are located in Saks’ separate building immediately east across Bedford Drive. The subject property also includes an adjacent parking structure.

Gantry Principal Braden Turnbull and Josh Natker, senior associate, with Gantry’s Los Angeles production office, placed the loan after reviewing ownership’s operational goals against a range of viable capital sources. After a review of options, the selected 25-year loan was funded through a correspondent life insurance company, offering the client an attractive fixed rate term meeting their long-term operative goals for the asset.

“Retail is an asset class that has suffered from substantial uncertainty during the intense disruptions of the Covid-downturn,” Turnbull said. “With the return of consumers to more normal shopping patterns now that vaccination programs are in full swing, Gantry expects to see more lenders willing to compete for retail assets at rates and terms attractive to borrowers.”