Houlihan-Parnes Realtors

Real Estate Weekly, March 1, 2000

Jack Houlihan of Houlihan-Parnes Realtors has arranged a $6.15 million first mortgage for an existing 85,000 square-foot single tenant office/warehouse building in Mahwah, NJ, which is leased in its entirety to AIWA. Jack Houlihan had originally financed this property with the same lender approximately four years ago, and the new first mortgage involved the blending of a lower interest rate of 8.02 percent on new funds of approximately $2.65 million with a higher existing rate on the current loan balance.

The lease with AIWA expires in approximately 11 years and the lender issued a 12-year loan with an amortization schedule of 16 years. The interest rate is fixed for the entire 12-year term at 8.6 percent, and this non-recourse first mortgage was funded at par by a major insurance company. The borrower is a Westchester County-based real estate investor who built this property in the early 1990's. The property has been occupied by AIWA since its inception.