Carlton to Sell $257M of Non Performing, First Mortgage Loans Secured by Small Balance, Multifamily and Retail Commercial Properties
- Feb 09, 2010
New York‑The Carlton Group has been retained by a major financial institution to sell $257 million in first mortgage loans secured by a variety of commercial properties including retail, multifamily and industrial assets.
The 478 loans are located in over 28 states with concentrations in the following markets: New York, Florida, Massachusetts, California, New Jersey, Illinois and Connecticut.
One of the unique aspects of the sale and what makes it appealing to investors is that potential buyers can view and bid on properties on a first-come, first-serve basis through the CEX Loan & REO MLS Exchange, said Carlton. The Carlton-created program allows bidders to bid on the property of their choice in a timeframe which is comfortable for them.
Carlton is offering the properties individually (rather than in large, bulk packages which tend to favor institutional investors) and bidders don’t have the pressure of having to bid on large amounts of properties on tight, sealed bid timeframes.
“This really appeals to investors,” said Managing Director Joe Korbar. “Many investors are familiar with certain properties and can bid right away. Others require more time and as long as the properties are still available, bidders are encouraged to bid whenever they wish.”
The loan assets (the “Loan Assets”) are being offered on a competitive real time-bid basis. Prospective bidders may bid on individual assets or bidder defined pools of loan assets (i.e. individual loan assets selected and aggregated by the prospective bidder).This sale provides prospective bidders an opportunity to purchase loan assets in major markets.
Some of the assets containing multifamily properties which are being offered in the sale:
Boston – A six-story, mixed-use property with retail, office and apartments, located in the historic North End of Boston.
San Diego – Retail building plus a rear, four-plex multifamily property just blocks from the beach.
Chicago, IL – Three-story, brick building with retail and apartments two miles northwest of the Chicago Loop.