Tower Capital recently arranged a $8,450,000 non-recourse construction loan and $6,274,291 in Limited Partner equity for the development of a spec industrial warehouse in the Phoenix MSA.

The site contains four separate parcels which will allow for +/- 120,000 SF single tenant building with outdoor yard storage.  Access to the site will accommodate loading for large truck and vehicular traffic.  Truck wells and grade level doors will be positioned to allow maximum flexibility for a multitude of industrial users.

The project features 30’ clear height, 2,500 amps of 277/480 volt three (3) phase power to the building, 100 paved parking spaces, 22 dock doors, rear paved truck storage area and 2,000+ square feet of class office space.  The dock high positions along with grade level doors will allow maximum flexibility for a multitude of industrial users.

Tower Capital leveraged its knowledge of the development process and equity providers to find a JV partner that would close and begin funding during pre-development.

Tower Capital was able to successfully source the construction financing on behalf of the borrower in an extremely critical timeframe due to the Federal Reserve raising rates in a dramatic fashion during the closing period for the loan.  Additional economic uncertainty has caused many lenders to become more conservative on construction financing, so it was critical for the Tower Capital team to demonstrate the strength of the submarket dynamics and demand. Tower Capital was able to generate a competitive lending environment which ultimately delivered the best pricing and terms for the borrower based upon their investment objectives for this particular asset.