Healthcare: Northmarq Capital arranges $17.1M mortgage for MOB
Michael Sieman, senior vice president and senior director of NorthMarq Capital’s Chicago Regional office, has arranged construction to permanent first mortgage financing of $17.1 million for an 81,000-square-foot medical office building located in Aurora, Ill.
Rush-Copley Hospital is the major tenant in this property. Financing was based on a 10-year term with a 30-year amortization schedule and was arranged for the borrower by NorthMarq through its relationship with a local bank. According to Mr. Sieman, this transaction is a non-recourse 90 percent LTC, 80 percent LTV construction to permanent loan for an on-campus medical office building.
The loan is subject to a long-term ground lease with preleasing of approximately 70 percent, including 40 percent of the space leased back to the hospital.
Sieman stated, “The lender committed the deal and began funding the construction before the credit crisis hit in full force. The lender remained committed to the deal and converted the construction loan to the permanent loan at construction completion on the original terms.”
by Illinois Real Estate Journal Reports
