National Asset Services' asset management team has lead commercial real estate investors involved in University Place property to maximize refinancing terms and investment performance in order to avoid maturity default.
ST. LOUIS, Oct. 8, 2014 /PRNewswire/ — National Asset Services (NAS), one of the nation's leading commercial real estate asset management companies, has once again proven their unique ability to lead ownership in the turnaround of underperforming Class A property due to the burden of unfavorable financing terms caused, in part, by an outdated tenant-in-common ownership structure.
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NAS successfully led a large group of tenant-in-common co-owners of 8555 University Place in St. Louis, Missouri through a multi-tiered process that resulted in a new property ownership structure and very favorable refinancing terms of a $45 million loan. Due to NAS' specialized leadership, investors were able to avoid maturity default as well as maximize investment performance due to more favorable capital terms.
The positive outcome for the property was achieved by leading co-owners and investors through an innovative strategy that involved reorganizing and consolidating the group of 31 tenant-in-common co-owners and an additional 77 investors into a new limited liability company. The formation of the newly created company enabled ownership to take advantage of an IRS code that enabled the contribution of the property to the new ownership entity with realizing a gain or loss. The newly created company then became the Borrower under a new loan provided by an undisclosed lender.
"The successful restructuring and refinancing of the loan on the University Place property in St. Louis once again demonstrates our commitment to examining all possible options for ownership. Our asset management team's leadership has resulted in the best possible outcome producing maximum returns for investors in commercial real estate," commented Karen E. Kennedy, President and Founder of National Asset Services. "Our company has experienced tremendous growth, primarily through referrals by investors who own Class A property and are facing a loan maturity coupled with an unwillingness by capital resources to refinance due to tenant-in-common ownership structures that were popular ten years ago."
The Class A, commercial real estate office property, located at 8555 University Place in St. Louis, Missouri is a three-story, 315,000-square-foot, single tenant office building. The complex serves as the company headquarters for Express Scripts, one of the nation's leading managers of pharmacy benefit plans. The building is situated on approximately 13 acres of land on the campus of the University of Missouri-St. Louis. A 1,011-space, three-level parking structure is located adjacent to the building, which also features 481 surface parking spaces.
About National Asset Services (NAS)
NAS is a nationwide commercial real estate management company specializing in an unbiased management approach to property value enhancement for property ownership. The company has approximately $2 billion of commercial property under management in a wide range of asset classes including: Office, multifamily, retail, student housing, assisted living and industrial flex properties. The company manages both sole owner and multi-owner properties and offers a wide range of asset management capabilities including: Real estate strategy analysis; long-range business objectives; monitoring changing market conditions; investor relations; real estate and investor accounting; loan modification and workout solutions; exit and hold strategies; leasing & marketing; tenant retention plans; research studies; site selections; feasibility studies; insurance risk management; capital improvement planning and tracking; property tax appeal services and cost segregation services.
For more information about NAS, visit www.nasassets.com. For industry news and company updates, NAS can be followed on Twitter @nascommercial.
Contact:
JW Robison
310.795.8985