Red Oak Provides Bridge Loan on Hoffman Estates Offices
Red Oak Capital Holdings, a Grand Rapids, MI-based commercial real estate finance company, has provided an $8.3-million bridge loan for Prairie Stone Commons in Hoffman Estates, IL. The Class “B” office property consists of two buildings totaling 101,981 square feet. The funds will be used to refurbish, re-tenant and increase occupancy and rental rates.
Despite the lackluster performance of the general office sector, Red Oak was comfortable with this transaction for several reasons, said CEO Gary Bechtel. “This property is located in a top submarket within Greater Chicago, which itself ranks as the third MSA in the country, with a large, diverse economy,” he said.
“Further, the sponsor is a highly experienced regional investor/developer and property manager with an extensive portfolio of office properties in a number of states,” he added.
The sponsor entity, YP Trillium, LLC, is managed by Zaya S. Younan, president and CEO of Los Angeles-based investment and brokerage firm Younan Properties, Inc.