IN THE NEWS
Examining the Self Storage Financing Landscape With Talonvest Capital
May 12, 2021 – Multi-Housing News
An Interview with Co-founder Tom Sherlock on the current financing landscape and what makes the self storage sector appealing.
While COVID-19 challenged many commercial real estate sectors, self storage is still riding tailwinds. Benefiting from pent-up demand, rental rates have substantially improved throughout 2020. As we further move into 2021, the sector continues to see strong growth across the country, offering attractive investment opportunities for industry players.
Tom Sherlock, co-founder of Talonvest Capital, discussed with Multi-Housing News what makes self storage an appealing investment option and what are some of the viable financing options for borrowers. Sherlock also talked about the company’s recent expansion into the East Coast and revealed his top three predictions for the future of self storage.
Talonvest Continues to Grow and Establishes an East Coast Presence
April 22, 2021 – Yahoo Finance
Talonvest Capital, Inc., a boutique mortgage brokerage firm serving commercial and self storage owners throughout the United States, is pleased to announce that John Chase has joined the firm as Senior Director – Business Development. Mr. Chase is responsible for sourcing self storage and commercial financing assignments on behalf of experienced, respected real estate owners and will operate out of the firm’s new Annapolis, MD area office.
In collaboration with other members of the Talonvest team, John will oversee the structuring of superior capital solutions to grow trusted advisor relationships with new clients in the eastern United States. Over the course of his 35+ year commercial real estate finance career, John has closed financing assignments throughout the country on a variety of asset types including self storage, industrial, multifamily, mobile home rental communities, office, and retail. View Full Story.
Talonvest completes $116m self-storage portfolio financing
April 21, 2021 – Property Funds World
ASB Real Estate Investments (ASB) and Talonvest Capital have announced the USD116 million financing of ASB’s stabilised Self-Storage Portfolio I through a three-year, floating-rate loan negotiated by Talonvest Capital and provided by Invesco Real Estate.
ASB executed the financing on behalf of its Allegiance Real Estate Fund, a USD7.3 billion core vehicle.
In 2018 in partnership with the William Warren Group, Allegiance acquired this 10-building portfolio, located in Phoenix, Denver, San Diego, Los Angeles, Jersey City, and on Long Island, NY. Comprising 9,821 units and 785,000 square feet of space, the recently developed, state-of-the-art portfolio is 90 per cent occupied. In addition, ASB also owns, in partnership with the William Warren Group, 12 more recently developed self-storage buildings with 11,115 units and over 936,000 rentable square feet of space in New York, Miami, Portland, Los Angeles, Seattle, San Diego and Phoenix. These properties have state-of-the-art security, design and finishes, which cater to discerning users of modern self-storage. View Full Story.
Talonvest Negotiates $54.3 Million of Financings
February 11, 2021 – Yahoo Finance
Talonvest Capital, Inc., a boutique self storage and commercial real estate mortgage brokerage firm, closed an $11,100,000 bridge loan on behalf of All Stor Woodland, Ltd, an affiliate of Endeavor Real Estate Group, the largest commercial real estate firm in Central and South Texas. The recently constructed property opened in April 2019 and features two floors of ground level access as it is built into a hillside, a feature providing tenants with greater convenience while providing for rental rate premiums. The non-recourse, 5-year loan with two years interest only payments and a step-down prepayment schedule was provided by a life insurance company lender and included reserves to facilitate economic stabilization of the asset.
David Roberts, Chief Financial Officer of Endeavor Real Estate Group, stated “This financing represents our first experience working with the Talonvest team. Their management of the loan approval process, due diligence, and closing process exceeded our expectations.” The Talonvest team members responsible for this assignment included Eric Snyder, Kim Bishop, David DiRienzo, Lauren Maehler, and Jim Davies.
Talonvest Negotiates $29.1M Bridge Financing on 4 North Carolina Properties
January 21, 2021 – GlobeNewswire
Talonvest Capital, Inc., a boutique self storage and commercial real estate advisor, orchestrated the $29,090,000 refinance of Madison Capital Group’s four property portfolio located in Arden, Asheville, Charlotte and Wilmington, North Carolina.
Madison Capital Group engaged Talonvest to secure bridge financing for four recently built, Class A, state-of-the-art, self storage properties. The portfolio includes a mix of 2,355 climate controlled and non-climate-controlled units and totals 255,064 square feet. All four properties benefit from their respective proximity to nearby single-family/multi-family residential housing and retail centers.
Talonvest negotiated the loan with a life insurance company lender and delivered non-recourse, 5-year fixed rate financing with no lease up covenants. Ryan Hanks, CEO of Madison Capital Group, commented “We have hired Talonvest over and over because of their proven expertise in structuring debt. They continually deliver results that exceed our expectations.”
Talonvest Closes $15.65 Million Bridge Loan for MA Property
January 6, 2021 – Global Banking & Finance Review
Talonvest Capital, Inc., a boutique self storage and commercial real estate mortgage brokerage firm, represented Westport Properties, Inc, and their institutional JV equity partner Heitman, in the negotiation of a $15,650,000 bridge loan for the acquisition of a recently constructed storage property in Needham, MA. The three-year, non-recourse, floating rate, bridge loan featured a low 4% start rate with interest-only payments for the term, two one-year extension options, and included interest and operating reserves.
The facility was built in 2020 and includes 92,500 NRSF in 970 storage units on a 1.90-acre site. It benefits from several high-income single family and multifamily communities, as well as high traffic retail, that surround the subject. The immediate trade area is densely populated and about 10 miles west of downtown Boston.
Most importantly, Talonvest was able to successfully negotiate for no lease up covenants during the loan term despite the early lease-up status of the asset. The loan closing was achieved less than 45 days after signing the loan application. Drew Hoeven, Chairman & CIO of Westport Properties, Inc., stated, “The level of attention and guidance Talonvest brought to our financing need was unique. They approached the assignment as if they owned the asset and delivered an excellent loan.” The Talonvest team members responsible for this assignment included Eric Snyder, Erich Pryor, David DiRienzo, Lauren Maehler, and Jim Davies.