Thorofare Capital funded a $4,025,000 acquisition loan for a Sacramento-based owner-operator to purchase Fairway Commons II via a major auction platform. The loan provided an attractive basis of $62.06 per sq. ft. at 65% loan to cost. Fairway Commons II is a 64,849 square foot anchored retail center constructed in 2005 and situated on a 5.5 acre site on Fairway Drive in Roseville, California.

The property comprises three buildings with approximately 50,000 square feet of anchor space, 11,000 square feet of inline space, and 3,000 square feet of food service space. At the time of funding, the property was 53.9% leased to three tenants with eight tenant suites available for lease. Subsequent to closing, the borrower was able to successfully secure a new long-term lease with a junior anchor tenant.

Big Lots, a national discount retailer, occupies 32,899 square feet through a NNN lease at the property. The property is shadow-anchored by a Lowes Home Improvement Center and is surrounded by a wide array of national and regional retailers, resulting in strong consumer traffic to the center.

The borrower was pleased with Thorofare’s commitment to funding the opportunistic transaction in a very short timeframe. Further, Thorofare structured the transaction with flexible pre-payment options, allowing for the borrower to maximize returns through a potential early exit. The borrower is an experienced sponsor with fully integrated property acquisition, management, and leasing.