Gantry, the largest independent commercial mortgage banking firm in the U.S., has secured a $25 million loan to refinance maturing debt from the acquisition and renovation of a creative office building located at 250 Cambridge Ave in Palo Alto. The three-story building offers 38,000 square feet of modern space following a comprehensive renovation resulting in a creative, class A property with open air corridors, a central courtyard, and maturing landscape aligned with new building systems throughout and enhanced exterior finishes. 250 Cambridge is substantially leased to a group of technology and finance focused tenants and sits at a prime location adjacent to a Caltrain station and California Ave restaurants, with ample secured-onsite and local parking options.

Gantry’s Robert Slatt, Principal, Murphy Osborne, Director, and Joe Foley, Senior Associate, with the firm’s San Francisco production office represented the borrower, a private real estate investor. The three-year, fixed rate loan with 30-year amortization was provided by one of Gantry’s correspondent life company lenders. Gantry will service the loan.

According to Gantry’s Robert Slatt, “Gantry continues to source solid financing solutions for maturing office debt where debt service coverage is demonstrable, performance consistent, and submarket fundamentals healthy. 250 Cambridge was a strategic acquisition for an experienced sponsor that completed a substantial renovation to modernize a well-positioned asset in a strong submarket for creative office space. Successful leasing and continued momentum with agreements in place for additional near-term occupancy positioned this asset to achieve a strong upside moving forward.  This loan from a top life company correspondent retired existing debt from the original investment with an optimized fixed rate loan, structured to support stabilized performance with improving metrics.”