Houlihan Parnes Realtors

Real Estate Weekly, April 19, 2000

Michael J. Wengroff of Houlihan Parnes Realtors has arranged a $2.0125 million construction and permanent first mortgage on the new construction of a self-storage facility to be built in Newington, CT., a suburb of Hartford.

The interest rate will float at .5 percent over the prime lending rate on the construction loan and then will convert into a permanent loan at the earlier of certificate of occupancy or two years at either 2.5 percent over the oneyear Treasury issue or at 2.5 percent over the five-year Treasury issue. Payments on the construction loan are interest only, while payments on the permanent loan will be based on a 20-year amortization schedule. The prepayment penalty on the permanent loan will be of a sliding scale nature and the lender charged a one percent fee for both the construction and permanent financing combined.