Recapitalization of 76 Net Acres in Eastvale, CA
Joint Venture Equity Partnership
NEWPORT BEACH, Calif., March 7, 2016 /PRNewswire/ -- On behalf of Summit Development and two Southern California family office investors, Landmark Capital Advisors, a real estate capital advisory firm disciplined in structured finance and private equity, is pleased to announce the successful closing of The Ranch at Eastvale. The project encompasses 76 net acres in Eastvale, CA, and will consist of approximately 2,000,000 square feet of mid-range industrial and commercial space.
Undisclosed equity proceeds were used to buy-out an equity interest held by Lehman Brothers, extend the escrow period, complete entitlements, and provide balance sheet capacity to close on the land.
The team representing the client was comprised of Adam Deermount and David Kidder, Managing Directors of Landmark Capital. A challenging aspect of the transaction was that capital was required to extend an option period with remaining entitlement risk, precluding most institutional equity sources from pursuing the project. In addition, funding was required within six weeks of being introduced to the project, and the large acquisition price called for two separate investment groups to fund the joint venture.
Landmark Capital was able to identify two, well-qualified family office investors capable of understanding and assessing an option and entitlement risk profile, as well as developing a large-scale industrial project.
"We are excited for Bryan and his investment partners and are proud to have executed this transaction on their behalf. Our team invested significant upfront time with the sponsor to understand the complexity of the transaction and to develop a simplified summary approach to the business plan, enabling investment partners to quantify the risks and mitigants in short order despite a complicated and variable entitlement timeline," said David Kidder, President and Managing Director at Landmark Capital Advisors.
"After working to raise 'entitlement equity' for over 12 months and encountering a lot of 'blank stares,' I was fortunate to meet Adam Deermount and David Kidder. They quickly underwrote the transaction and introduced me to several smart/qualified equity sources. Landmark had instant credibility with these investors and we were able to close a very complex transaction in 45 days start to finish. I highly recommend Landmark Capital Advisors," said Bryan Bentrott at Summit Development.
About: Landmark Capital Advisors, a real estate capital advisory firm disciplined in finance and private equity, works with owners, investors, and developers of commercial and residential real estate. Founded in 2011, the company raises real estate capital through institutional, private, and family office investors to finance a wide array of real estate projects. Learn more at www.landmarkcapitaladvisors.com
SOURCE Landmark Capital Advisors
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