Rockfish Funding, LLC. has arranged a $5,000,000 CMBS conduit loan for the refinance of Dover Downs Shopping Center, a 95,717-square-foot power center located at 1165 North DuPont Highway (Route 13) in Dover, Delaware. Route 13 is the primary retail/commercial corridor serving Dover, the second-largest city in Delaware with a population of approximately 37,000 and growing. The center was constructed in 1993 and is 100% occupied. The property is anchored by Best Buy, Michaels and Ashley Furniture. The loan refinanced an existing CMBS conduit loan that was scheduled to mature in January 2016.
The property was originally occupied by Lowe’s Home Improvements, which relocated. The property was rezoned from C-4 to SC-1 to allow the property to be redeveloped into a multi-tenant power center that included the construction of the Best Buy space in what was the former Lowe’s garden center. The former owner, Dover Downs, Inc., completed the redevelopment and re-leasing and then sold the property to our borrower, Millers Dover Downs, LLC.
The transaction was originated by Lawler Rogers, Director of Rockfish Funding, who partnered with ValueXpress to complete the transaction. The deal was completed within 45 days and closed on time, such that the borrower avoided paying double interest on the new and existing loans. This loan was a follow-on to the Tally Ho Shopping Center loan that closed the previous week.
“This transaction is again proof that our strategy to support the Delaware marketplace is firmly rooted,” said Mr. Rogers. “In 2016, there will be over 100 transactions in the Delaware Market surpassing $400,000,000 in debt placements and restructurings, and we plan to work very effectively with property owners, property managers, and CRE professionals to deliver the highest level of service to the community possible.”
The transaction was underwritten by Jim Brett, head of underwriting at ValueXpress. The team was assisted by Robert Wittig of DSM Commercial, the property and leasing manager who pulled together market information and managed the survey process. Finally, the closing was completed on time by Julie Panaro of the Panaro Law Group.