Commercial Real Estate News
Acquisition & Disposition
Angel Commercial L.L.C. Arranges Short Sale of Stratford Office Building
STRATFORD, CT – April 15, 2010 – Jon Angel, President of Angel Commercial L.L.C., a Fairfield-based commercial real estate brokerage firm, announced today that the 2,900 square foot office building located at 685 Honeyspot Road in Stratford, Connecticut, sold for $315,000 to Stratford, CT L.L.C.
“A Short Sale, financed by the Bank of Fairfield, along with an SBA loan, helped make this deal possible,” explains Angel, the sole broker in this transaction who located the buyer, worked with the seller, 685 Honeyspot Road L.L.C., their lenders, and attorney, Kathleen M. Dunn of Knott & Knott, to successfully negotiate the deal.
“A Short Sale is a great alternative to foreclosure,” notes Angel. In a Short Sale, the parties negotiate a deal that the lender is willing to accept. The lender pays the real estate commission normally paid by the seller and typically releases the seller from outstanding obligations if there is a deficit. However, in certain cases, the lender may require the deficiency to be paid in the future. The specific details of a Short Sale are determined on a case-by-case basis.
“An SBA loan made it possible for the buyer to obtain financing in this deal,” explains Angel. The Small Business Administration provides a number of different loan programs specifically designed for small businesses that plan to occupy at least 51% of the asset. The primary reason borrowers pursue this type of loan is due to capital preservation. The SBA along with a lead lender can provide as much as a 90% loan to value based on the appraisal amount.
“Commercial real estate property owners and buyers should understand all their options,” explains Angel, who has worked with many clients in a confidential manner. “They should not hesitate to discuss their unique situation with a professional broker they can trust.”