Buchanan Mortgage Holdings, LLC provided a $46,500,000 (79% LTC; 69% LTV) non-recourse construction loan to finance the development of a 149-unit, Class A multifamily property in San Diego, CA. Upon completion, the property will consist of nine residential stories with 16 affordable units and 133 market-rate units featuring premium finishes and private balconies. Community amenities will include secured structured parking, a fitness center/recreation room, dedicated tenant storage, a third-floor courtyard, and a rooftop lounge. The sponsor is an experienced San Diego-based owner-builder that has successfully developed numerous multifamily projects within the San Diego market on behalf of themselves and third-party clients.

Buchanan Mortgage Holdings, LLC (“BMH”) closed a $36,100,000 (64% LTV) bridge loan secured by a vacant Class-A terminal facility in Perris, CA. The property was recently completed and features 99 dock-high doors and surplus trailer storage. BMH provided the construction loan in 2022 and is pleased that the sponsor, a premier Southern California-based developer and owner of logistics-oriented real estate, selected BMH for the bridge financing despite competition from multiple other lenders.

Buchanan Mortgage Holdings, LLC provided a $15,310,000 (81% LTC; 75% LTV)non-recourse construction loan to complete the development of a 28-unit, Class Amultifamily property in Hollywood, California. The property was 70% complete at the time of loan closing and upon completion will offerthree affordable units, above-average unit sizes, high-end luxury finishes,three penthouse units with expansive patios,secured subterranean parking,a gym/recreation room and on-site bike storage. The location benefits from excellent walkability andimmediate proximity to employment hubs for the entertainment and healthcare industries. The sponsorship consists of two Los Angeles-based high net worth individuals that have owned and developed properties together for more than four decades.

Buchanan Mortgage Holdings, LLC provided a $46,000,000 (67% LTC based on market land value; 47% LTV based on MAI appraised stabilized value), non-recourse construction loan to develop a Class A, 216,000 NRSF self-storage facility situated on 3.5 acres in Huntington Park, CA, one of the most densely populated cities of Los Angeles County that benefits from low existing supply per capita compared to the overall MSA and high barriers to entry for new development. BMH provided the original land acquisition financing in December 2021, which represented the third loan that BMH had closed with the sponsor, a Newport Beach-based private real estate developer specializing in self-storage and industrial developments throughout California. Due to our familiarity with the site’s history and prior experience with the sponsor, as well as Buchanan’s in-house self-storage expertise, BMH was able to get comfortable with the environmental status of the site and related remediation while also minimizing the sponsor’s cash equity investment by giving credit to the significant value of the re-entitled land above the sponsor’s cost basis.

Buchanan Mortgage Holdings, LLC provided a 30-month, $28,255,000 (63% LTV as-stabilized; 100% LTC) non-recourse loan to complete construction and lease-up a Class A, 110,000 NRSF self-storage facility situated on 2.03 acres in Huntington Park, CA.  This was a modification of an existing construction loan that BMH closed in September 2020. At the time of this modification, construction was approximately 85% complete and leasing was slated to commence within a few months. The new loan terms provided additional time for the sponsor to complete construction and stabilize the property, in addition to structuring a $6.0 million earnout and 105 bps spread reduction upon completion of construction. BMH has closed four previous loans with the sponsor, a Newport Beach-based private real estate developer specializing in self-storage and industrial developments throughout California.

Buchanan Mortgage Holdings, LLC provided a $25,000,000 (81% LTC; 38% LTV) non-recourse construction loan to develop a 53,275 RSF, Class A truck terminal in Perris, California. Upon completion, the property will feature 26’ clear heights, 99 dock-high doors, 161 trailer parking stalls, and 5,000 SF of office buildout. The sponsor is a privately-owned firm based in Los Angeles that for over 50 years has specialized in entitling, developing and operating industrial, logistics, and cold storage properties.