Dealmaker: iBorrow Provides $14M for Midwest Industrial Properties

(9325 Kennedy Court, Munster, Ind.)

iBorrow, Los Angeles, provided $13.5 million for two fully leased single-tenant industrial properties in Michigan and Indiana.

The manufacturing facilities at 2000 Michigan Ave. in Alma, Mich., and 9325 Kennedy Court in Munster, Ind., total 301,000 square feet; automotive and heavy gauge steel industries firms occupy the respective properties.

iBorrow CEO Brian Good noted the loan helped the borrower refinance $12 million in existing debt on the portfolio as well as recapitalize the ownership structure by allowing the borrower to buy out an equity partner.

“While the sponsor had a fast-approaching hard deadline, iBorrow was able to quickly complete the underwriting process and close the loan in just three weeks,” Good said.

The Midwest industrial sector has experienced significant growth in recent years, due in part to the region’s central location and excellent transportation infrastructure, which allows companies to move goods throughout the country.

“This deal was attractive to us due to the strength of the borrower, the locations of the two properties and the long-term lease agreements in place,” Good said. “These assets perfectly demonstrate the strong demand for well-located industrial buildings in the Midwest.”

Good noted the Michigan property sits in a robust industrial market with a 1.85% vacancy rate, while the Indiana property is within a Chicago submarket near the Illinois border and has easy access to interstate highways.