Dealmaker: Gantry Secures $8M Bridge Loan for San Diego Industrial Acquisition

(Photo courtesy of Gantry)

Gantry, San Francisco, secured a $7.9 million bridge loan for the value-add acquisition of a 61,000-square-foot industrial building located at 1444 30th Street in San Diego, Calif.

Built in 1986, the building is slated for a comprehensive improvement and modernization program to position the property for a legacy hold. It is currently 100% occupied by two tenants.

Gantry Principal Tim Storey and Senior Associate Chad Metzger with the firm’s Phoenix production office represented the private real estate company borrower. A life company supplied the bridge loan with a fixed rate plus extensions.

“As this new rate climate continues stabilizing at the close of 2023, buyers and sellers are now finding harmony on cap rate, value and price,” Storey said. “This building presented an experienced sponsor with a timely opportunity to acquire an older asset with good bones primed for a major repositioning and improvement program.”

Storey noted vacancies for like-product remain low in the property’s submarket. “Local fundamentals strongly align with their targeted business plan,” he said. “Our life company correspondents remain a preferred source for bridge and construction finance in the current climate, and we expect that to carry into 2024.”