Location: Katy, TX
Loan Amount: $3,815,000
Interest Rate: 5.02%
Purpose: Arriba Capital Successfully closed a $3.8MM loan to refinance a 10,000 Sqft retail property in Katy, TX. This new build was 100% occupied at time of closing. The loan was utilized to refinance the existing construction debt and allowed the sponsors to recoup a portion of their initial equity injection.
The retail sector continues to be a bright spot in the Houston MSA as the amount of new retail supply coming online hasn’t been able to keep pace with the population growth. Occupancies are still well below the 6.19% 10-year historical average as retail properties continue to trade hands below the 7% national cap rate index for retail properties.