Key West, FL - Dev Morris and Andrew Stewart of Cronheim Mortgage have arranged financing totaling $10,602,350 for a Home Depot located on North Roosevelt Boulevard in Key West, Florida. The self-liquidating loan was arranged for Industries Exchange No.2, LLC, and was structured over 19 years and 10 months at a 3.63% rate.
The subject property, constructed upon a 6.7 acre parcel of land, contains a 90,000 gross square foot home improvement center, with an additional 14,000 square foot garden center facility. The Subject is 100% occupied by Home Depot, who has been assigned a corporate credit rating of A- by Standard & Poor's - stable outlook. Home Depot is the largest home improvement retailer in the United States and reported sales of $74.8 billion in FY 2012. This Home Depot in particular is the primary home improvement store serving the Key West area.
According to Dev Morris, "Although this was closed in a rising interest rate environment, the lender moved expeditiously to allow the borrower to take advantage of what is now a below market rate. Our correspondents continue to allow us to be competitive for long term fixed rate mortgages."
Founded in 1897, David Cronheim Mortgage Corporation and its affiliate companies located in Chatham, NJ provide an array of real estate services including debt and equity for investment grade real estate. Through their Channel Real EstateFunds affiliate they have provided mezzanine and equity capital for numerous real estate projects in an efficient and cost effective manner. Cronheim Mortgage maintains correspondent and/or servicing relationships with 12 institutional investors, mostly insurance companies, and currently services $2.0 billion of debt. The company and its insurance company correspondents have substantial debt and equity capital to invest in quality real estate at pricing below alternative sources, especially for long-term debt.