$41m self-storage loan

Real Estate Weekly,  April 16, 2008  

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GE Real Estate funded $41.5 million to an investment fund managed by Acadia Realty Trust for its purchase of five self-storage facilities in various locations in New York and New Jersey.

The five facilities, with a combined 5,241 units, are located in prime commercial and retail locations in key New York and New Jersey markets and are in the process of being leased to stabilization. The properties--in Linden and Jersey City, NJ and Fordham, Webster and Lawrence, NY--were part of a 10-property portfolio recently acquired by Acadia Strategic Opportunity Fund III, LLC, a $500-million equity fund launched by Acadia last year capitalized to acquire 1.5 billion of retail and urban mixed-use assets.

The GE Real Estate loan was funded under its Flexible Fixed-Rate Finance Program, which is a balance sheet program. The loan is interest only for a period of three years and offers two-one year extension options. Other key provisions include a flexible pre-payment schedule and collateral release and substitution rights.

"Despite the ongoing credit crunch and market turmoil, the flexibility of GE Real Estate was demonstrated while putting together this deal," said Joel Braun, executive vice president at Acadia Realty Trust.

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