Regions West | Orange County
May 28, 2008
Younan Finance Group, an affiliate of Younan Properties Inc., has announced that it is under contract to buy a $6.5 million B-Note on Orange Tower, a 290,800-square-foot Class A office building, and a 42,700-square-foot 24-Hour Fitness facility in Orange County, Calif., from Rubicon Capital America L.L.C. The B-Note on these assets are part of the first mortgage loan on the portfolio acquired by Maguire Properties Inc. The acquisition of the B-Note will be the second purchase of performing loans in the last two weeks. According to Zaya Younan, chairman & CEO, additional, substantive purchases through Younan Finance Group are planned. When the CDO market shut-down during 2007, many REITs that were accumulating assets for securitization using short-term warehouse and repurchase facilities were left with short-term debt that could not be refinanced via the CDO market. Since January of 2008, the market for commercial mortgage bonds has frozen, as spreads on all levels of paper have swelled to historic highs. Last month, Younan announced it formed the Finance Group, financed with $300 million, to acquire a broad range of debt and debt-related securities and instruments backed by commercial real estate.
Younan Finance Group, an affiliate of Younan Properties Inc., has announced that it is under contract to buy a $6.5 million B-Note on Orange Tower, a 290,800-square-foot Class A office building, and a 42,700-square-foot 24-Hour Fitness facility in Orange County, Calif., from Rubicon Capital America L.L.C. The B-Note on these assets are part of the first mortgage loan on the portfolio acquired by Maguire Properties Inc. The acquisition of the B-Note will be the second purchase of performing loans in the last two weeks. According to Zaya Younan, chairman & CEO, additional, substantive purchases through Younan Finance Group are planned. When the CDO market shut-down during 2007, many REITs that were accumulating assets for securitization using short-term warehouse and repurchase facilities were left with short-term debt that could not be refinanced via the CDO market. Since January of 2008, the market for commercial mortgage bonds has frozen, as spreads on all levels of paper have swelled to historic highs. Last month, Younan announced it formed the Finance Group, financed with $300 million, to acquire a broad range of debt and debt-related securities and instruments backed by commercial real estate.
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Nov. 04, 2008