Falcon completes $8.5 million re-financing
Falcon Real Estate has recently completed the re‑financing of the DeVry Building in Westminster, Colorado, just outside Denver. The existing mortgage on the property was maturing and Falcon was able to obtain a new $8,500,000 6.5% mortgage from Modern Woodmen of America. This is a fraternal benefits organization that offers products such as life insurance to its members.
An agreement was reached with GE Capital to pay off the existing mortgage for $9,000,000 and therefore it was necessary to add additional equity to cover the difference between the two mortgages and to cover the costs of re-financing.
David Hill, Executive Vice President of Falcon Real Estate, who negotiated the re‑financing on behalf of Falcon, said, “Given the very difficult conditions in the credit markets today, we are very pleased that we were able to obtain this mortgage.” Mr. Hill indicated that this financing would enable the property to be held for a number of years, during which time it was hoped that the commercial real estate market in the United States would recover.