Jeff Wilcox, a Principal in Gantry’s San Francisco office, has arranged a $24,000,000 construction loan for a mixed-use condo development in downtown Palo Alto. Located directly off of University Ave., the new development is located in one of the hottest submarkets in the country. The new four-story asset is divided into two condos, one office and one residential. The Class A office condominium consists of 30,000 SF of rentable space across the first three floors of the building. The residential condominium is one, 5,000 square foot luxury unit on the fourth floor of the building. The unique condominium design of the building coupled with the high loan per square foot posed significant hurdles when securing a construction loan.

“Lenders in general are still wary of condominium development despite the strength in the current market.   The 2008 downturn has made “condos” a four letter word and it is tough to shake that stigma. The strong location within Palo Alto and the borrower’s track record of successful development played a large part in securing the financing. It will be a great pleasure to watch the building come out of the ground over the next 12 months.”
-Jeff Wilcox, Principal of Gantry

Working on an exclusive basis, Gantry arranged the financing with a local bank. Additional terms of the transaction were not disclosed.

Gantry is a full service mortgage banking firm with a strong lineup of correspondent lenders utilizing Gantry’s production, closing and servicing capabilities. Established in 1991, Gantry is currently staffed by over 60 employees in regional offices throughout the western United States. The company services over $7.5 billion representing 900 loans. Gantry has been rated as a Primary Servicer by Standard and Poor’s and is one of a select few non-banking / non-insurance chartered companies with this designation.

For more information on this transaction please contact Jeff Wilcox at (415) 946-6239 or Michael Heagerty at (415) 956-9854.