ValueXpress has arranged a $2,475,000 commercial real estate loan through its affiliated bank, Country Bank, for the purchase of two connected, one-story, mixed-use commercial buildings located at 315 Jackson Avenue, Bronx, New York. The buildings were formerly occupied by a plumbing contractor.
The property will be renovated and utilized as one of ten vintage clothing stores with ancillary warehouse space owned by the borrower.
The company deals in the sale of previously used clothing, footwear and toys. These items are purchased by the pound, and items in good condition are resold in the owner’s vintage clothing stores in the N.Y. metro area, including the store that will be constructed at the subject property. The balance is exported, primarily to Guatemala. The loan was structured with a five-year term deal with one renewal option for an additional five-year period. ValueXpress recently arranged a loan for this borrower for an industrial property in Texas.
The loan was originated by Gary Unkel, a senior loan originator at ValueXpress. The borrower, a long-time client of Unkel’s, has completed roughly 12 transactions over the past 10 years. Unkel commented, “The company needed additional warehouse and retail space based on its rapidly expanding business, and we have supplied the financing in each instance.”
This transaction was another example of problem-solving. It was determined that two underground gasoline storage tanks were located at the southeast corner of the site. Without any information on their status, ValueXpress arranged and supervised an Environmental Phase II investigation to test the soil surrounding the tanks. No contamination was detected in the soil samples, which allowed the loan to close.