| 1E - DSCR < 1.10, 1F DSCR <1.40 & <= 75% U/W, 4A - Occ < 80% U/W occ, 4B EGI< 80% U/W EGI & < 1.10. The loan is secured by a 73,615 sf industrial property in Las Vegas, NV built in 1998. The property was inspected 9/9/2008 and rated in good condition. 1Q 3/31/2009 NCF DSCR is 0.45 with occupancy of 70% as of 5/19/2009. YE 2008 DSCR is 1.00 with occupancy of 53%. Decline in DSCR is attributed to a decline in occupancy. The subject was 100% occupied by two tenants – APT Transportation Inc, and John Stuart Productions. However, John Stuart who occupied 34,315 sf (46.61% NRA) with an original lease expiration of 4/2012 has vacated the premises. U/W required a monthly escrow in the amount of $7,710 until the balance of the escrow is $250,000. Upon the signing of new tenants or the renewal of the APT Transportation, Inc. and John Stuart Productions, leases to terms satisfactory to Lender for a period of no less than two (2) years beyond the term of the Proposed Loan, the escrow funds may be released to Borrower. The current escrow balance is $125,530. The borrower is actively marketing the vacant space via Loopnet, Costar and Property Line. The borrower reported they have recently leased 15,000 sf to Vegas Trucking Co. for a term of five years at $4.66/sf commencing on 7/1/2009 and another 2,000 sf to First Select on a MTM basis at a rate of $6.60/sf. This will bring the occupancy to 93%. Bank of America will continue to monitor the loan.
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