Dealmaker: Largo Group Secures $179M for Office/Retail/Hotel Assets
Michael Tucker email@example.com
The Largo Group of Cos., Buffalo, N.Y., secured $178.7 million for properties in Calgary, Alberta and four U.S. states.
In Calgary's central business district, Kevin Heiss, Managing Director of Largo's Canadian operations, secured $161.3 million to reposition a Class A office and retail tower. The property at 2nd and 7th Avenues has significant frontage on Stephen Avenue, a commercial and entertainment district that houses high-end retail, offices and the Telus Convention Centre.
The 41-story building includes 517,000 square feet of Class A office space and 86,275 square feet of retail space. The borrower accepted a three-year non-recourse first mortgage with two one-year renewal options.
In the U.S., Largo Managing Director Lori Tirado secured $17.4 million for six hotels in Ohio, Pennsylvania, Mississippi and New York.
The Ohio property was a 64-room Super 8 in Columbus, eight miles from The Ohio State University and less than 10 miles from Columbus' central business district. Tirado arranged a 20-year self-amortizing loan through a life insurance company.
Two Philadelphia-area assets, a Quality Inn and a Comfort Inn, both received short-term, interest-only bridge loans that allowed the borrower to refinance existing debt and complete a property improvement plan required by the brand.
Tirado also arranged non-recourse financing for an 82-room Comfort Inn and a 77-room Hampton Inn in Moss Point, Miss. The hotels are two miles from the Trent Lott International Airport and seven miles from downtown Pascagoula. The loan for both hotels remains fixed for 10 years.
The final property was a 51-room LaQuinta Inn and Suites in Batavia, N.Y., close to the New York State Thruway and casino/horse racetrack Batavia Downs. The 10-year non-recourse financing for this property came with a 25-year amortization schedule.