100 Sunport, Orlando Florida

Asset Acquired:

$6.3 Million 1st Trust Deed

Location:

Orlando, Fl

Investment Year:

2013

Equity Returned:

100%

Investor Cash-on-Cash Return:

64.69%

Investor annualized (IRR) return:

38.44%

100 Sunport Lane is a 161,531 flex office/industrial buildings in Orlando, FL. The two-story building built in 1986 is situated on 19.52 acres.  FEMA was the single occupant tenant of the building, where they were operating a call center, until 2007 when they vacated.

In late 2013, G8 acquired the 1st trust deed secured by 100 Sunport Lane. The original loan matured in 2008 and the borrower had negotiated several extensions. Despite being 100% vacant since 2007, the borrower had continued to meet all mortgage obligations up to the final maturity date on August 2013, when they were unable to pay the loan in full.  Upon acquisition of the loan, G8 made contact with the borrower and determined that the borrower had the financial ability to continue making payments and the desire to continue seeking to lease up the building. G8 negotiated with the borrower a modification of the loan to include an extension, principal pay down and an interest rate increase.

In 2015, upon securing a replacement tenant, the Borrower paid the note in full. This transaction represented a true win-win for both the borrower and G8 with a creative restructuring of the note allowing for a successful resolution for all parties. Distributions from the final payoff of the property provided overall cash-on-cash returns to investors of nearly 65%.