Deal: The Omni Building
Location: Federal Way, WA
Collateral: Two-story, Class B, 37,000sf office building built in 1979
Amount: $3,000,000
Type: Perm – forward
Purpose: In the summer of 2017, our client was concerned about rising interest rates on a loan which was due to mature in February, 2018. How right they were to be concerned! We were able to lock in a long term fixed rate early in the process, before interest rates rose by more than 50bps. The cost of this forward commitment was a fraction of the increase in rates that would have been realized had the borrower waited.