Hawaii Mixed Asset Portfolio
May 29, 2022
15-Year Loan from Bank of Hawaii Recapitalizes Hanua Logistics Center and the Honolulu Design Center Properties on Oahu; Bank Loan featuring an Attractive Fixed Rate and Favorable Terms Points to Continuing Availability of High-Quality Debt Options for Class A Assets
Honolulu, Hawaii – Gantry, the largest independent commercial mortgage banking firm in the U.S., has secured $65 million of permanent financing to recapitalize a mixed-asset portfolio located on the island of Oahu. The two financed properties are Hanua Logistics Center, a recently completed 226,850 square-foot Class A warehouse facility, and the Honolulu Design Center, an architecturally distinctive 80,000-square-foot retail center that is home to a mix of custom, luxury, and bespoke furnishings and interior design companies.
Gantry’s Murphy Osborne, Director, with the firm’s San Francisco production office secured the funding on behalf of the borrower, a private investor. Bank of Hawaii provided the financing, underwriting one loan secured to two different property types for a fifteen-year term including a significant interest only period transitioning to 30-year amortization.
According to Gantry’s Murphy Osborne, “Experienced real estate owners and sponsors often assemble portfolios of diverse assets. By cross collateralizing the Honolulu Design Center and the Hanua Logistics Center we were able to complete a large repositioning of capital allocation for sponsorship, including retiring construction debt from the completion of the logistics center. The complexity of mixing asset types during underwriting can sometime challenge lenders. Gantry specializes in articulating investment and asset management business plans so that they can be paired to the best identified financing solution able to meet investment goals. Assets and sponsorship of this quality opened the door to a number of financing options from the more than 160 capital sources Gantry works with, however Bank of Hawaii knows their market and worked diligently to compete against our correspondent Life Companies to close this loan at superior terms commiserate with the quality of the assets.”