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CBRE Arranges Construction Loan for Future Trader Joe’s
CBRE arranged $8 million in acquisition and construction financing on behalf of Fulton Retail DE1, LLC. Fulton Retail has acquired 555 Fulton St. in San Francisco, which will be the future home of a Trader Joe’s grocery store.
CBRE’s Regina Wang, Connor Lemley, James Bach and Griffin Walker secured the 30-month, fixed rate bridge loan for Fulton Retail to acquire and build out retail space.
The acquisition of 555 Fulton will allow Trader Joe’s to open upon completion of the construction of the interior. The grocer could start operating in the 16,600-square-foot space by the fall of 2024.
“This investment will bring tremendous long-term value to the Hayes Valley neighborhood, where Trader Joe’s has planned for years to open a store,” said Wang. “From debt financing standpoint, there were many headwinds to overcome including higher rates, short-term vacancy (during tenant build-out period) and insurance market disruption. However, with the right transaction team, deals can still get done.”
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