Salt Lake City – Gantry, the largest independent commercial mortgage banking company in the United States, has secured $7.7 million in permanent financing for two self-storage facilities totaling 135,000 square feet of leasable space. Assets include Storage Corner Group’s 60,000 square foot Uptown Storage (Salt Lake City) and 75,000 square foot Central Storage and Business Park (St George).
Charlie Kokernak, director of Gantry, with the production office in Portland, Oregon, secured permanent financing on behalf of the borrower. The concurrent 7-year fixed rate loans with initial interest only periods were placed with one of Gantry’s life insurance company correspondent lenders. Gantry has helped expose capital markets, particularly insurance company lenders, to the self-storage asset class over the past decade by working with correspondent lender underwriters to model the unique dynamics of the operating model.
According to Gantry’s Charlie Kokernak, “The sponsor has done a phenomenal job of identifying tremendous off-market value-added opportunities with these properties, and after executing a strategic business plan, they were able to secure long-term financing without recourse to release contingent liabilities on their balance sheet and recover funds spent on repositioning those assets to return capital to investors.This financing is a perfect example of using a wide variety of sources of capital, first to acquire and fund repositioning, then transition to a permanent option once stabilized to find the best deal at each stage of an investment’s lifecycle.
About the gate
Gantry, a privately held company headquartered in San Francisco, is a full-service mortgage banking company with an extensive line of correspondent lenders utilizing Gantry’s origination, closing and servicing capabilities. Founded in 1991, Gantry currently has nearly 90 professionals in regional offices across the western United States and New York with more than 40 production teams that generated more than $5.1 billion in 2021. The platform -the nearly $18 billion company’s national service form represents more than 2,100 loans located in 43 states. Gantry is rated as a Primary Servicer by Standard & Poor’s and is one of the few non-banking/non-insurance chartered companies to have this designation. For more information, please visit gantryinc.com.