Bethesda, Maryland – November 21, 2017
Walker & Dunlop, Inc. (NYSE: WD) (the “Company”) announced today that it structured a $8,100,000 loan with a national bank for Preferred Storage, a self-storage property in Plantation, Florida. Managing Director, David Gahagan, and Senior Analyst, Ariel Zucker, led the Company’s team.
The loan was structured with a 10-year term and 12-month construction period, followed by a 36-month stabilization period on an interest-only basis. The remaining six years of the loan term is amortized over 25 years. The transaction was unique in that construction financing has become more difficult to source in the current lending environment, particularly on an asset class that has no pre-leasing and could take a few years to stabilize.
Mr. Gahagan commented, “Self-storage properties were traditionally a mom and pop business, but it is now a growing institutional category of real estate with a number of REITs and national funds acquiring and owning this asset class. We were able to work with a large bank to provide desirable financing for our client.”
Preferred Storage will be a modern, three-story, air-conditioned facility located in an older part of Plantation on Sunrise Boulevard between I-95 and Florida Turnpike. The property’s competition in the surrounding area mainly consists of older facilities that are fully leased but lack the amenities that Preferred Storage can provide as a modern facility.
In the third quarter of 2017, Walker & Dunlop originated $1.8 billion of brokered loans, bringing its year-to-date brokered originations to $5.0 billion through September 30, 2017. To learn more about Walker & Dunlop’s financial offerings, visit our website.
About Walker & Dunlop
Walker & Dunlop (NYSE: WD), headquartered in Bethesda, Maryland, is one of the largest commercial real estate services and finance companies in the United States providing financing and investment sales to owners of multifamily and commercial properties. Walker & Dunlop, which is included in the S&P SmallCap 600 Index, has over 600 professionals in 28 offices across the nation with an unyielding commitment to client satisfaction.