Schochat Capital obtains $4M

Real Estate Weekly, Sept 29, 1993

Schochat Capital Corporation, the New York-based commercial mortgage brokerage firm, has obtained a $4 million non-recourse libor-based loan with a cap from the Belgium-based Krediet-bank for a triple-net leased, 20,000 square-foot Barnes & Noble store in Bryn Mawr, Pennsylvania.

The announcement was made by Michael Schochat and Myron J. Berman of Schochat Capital Corporation, who received the challenging financing assignment from the borrower, 3120-3130 Lancaster Avenue Partnership, an affiliate of Keating Construction of Bala Cynwyd, Pennsylvania, after the loan had been declined by numerous lenders.

According to Schochat, the majority of lenders were reluctant to provide financing for Barnes & Noble, which was highly leveraged after a buyout and rapid expansion, especially after a public offering aimed at improving its balance sheet was aborted.