Houlihan Parnes Realtors

Real Estate Weekly, August 9, 2000

Jack Houlihan of Houlihan Parnes Realtors has arranged a $4,700,000 first mortgage on a 94,000 sf warehouse distribution facility leased to the Graebel Moving Companies in the Canfield Business Park in Randolph Township, Morris County, N.J. The interest rate was fixed at 8.03% for a 10-year term and amortization payments will be based upon a 25 amortization schedule. The loan will be coterminous with the 10-year lease term and the lender charged a $5,000 fee.

The loan is non-recourse and is assumable by a qualified buyer with a 1% transfer fee at the time of the sale. The loan also features a very flexible prepayment penalty of 5% years 1 and 2; 4% years 3 and 4; 3% years 5 and 6; 2% years 7 and 8; and 1% years 9 and 10, with the last 90 days open to prepayment without penalty.

The lender, which funded the loan at 200 basis points over the 10-year Treasury Constant Maturity, was represented by Hugh Finnegan, Esq. of Siller Wilk.