PLAZA EL PASEO

RANCH SANTA MARGARITA, CA

$56,639,000

106,920 SQ FT.

Plaza-El-Paseo

Legacy lifestyle center in highly affluent Orange County community.

 

Created a 1031 exchange strategy for the investor – sale of apartments to trigger exchange.

 

Buyer Profile: 1031 Apartment exchange buyer.

AT A GLANCE

  • $32,000,000 low leverage conduit loan (requiring loan assumption by buyer).

  • 2 properties encumbered by one CMBS loan

  • Property had been unsuccessfully marketed by another national firm prior to Faris Lee taking on the assignment.

MARKETING STRATEGY

  • Communicate high demand for vacant space within the subject property to show income appreciation potential.

  • Utilize Faris Lee Investments trading desk to find low leverage investor with required liquid funds.

  • Create 1031 strategy for investor – sale of apartments to trigger exchange requirement.

RESULTS

  • Created a 1031 exchange need by identifying the assets to be sold, producing required equity.

  • Fulfilled investor’s need for a legacy/generational asset investment.

  • Developed a strategy to create a buyer which fit a very narrow segment of the market.