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Class A Self-Storage Cash-Out Refinance

West Coast · $10,000,000 Refinance
Amount
$10,000,000
Type
Refinance
Recourse
Non-Recourse
Amortization
Interest-Only
Prepayment
Open

A newly-developed Class A self-storage facility held by a UHNW sponsor.

The property was a recently-completed, professionally-managed Class A self-storage facility. The sponsor sought cash-out refinancing proceeds while retaining maximum flexibility — no prepayment lock-ups, no recourse, no amortization drag — on terms that meaningfully improved on the construction facility.

The Challenge

A sophisticated client who already knew the lender landscape.

The sponsor is an ultra-high-net-worth individual with his own extensive lender network — banks, debt funds, and relationships built over decades. Engaging a capital markets advisor for a $10M refinance was not a necessity; it was a choice. The bar was accordingly high: BCA had to deliver terms and service his existing relationships could not.

The Solution

A bespoke capital structure beyond conventional channels.

Rather than shop the deal to the usual balance-sheet banks, BCA accessed a lender outside the sponsor's direct network willing to underwrite the asset's trajectory rather than its trailing income. The resulting structure — non-recourse, interest-only, open prepayment, below-market rate — was materially more flexible than any quote the sponsor had received directly. Execution was clean: diligence managed end-to-end, closing on schedule, no surprises.

Outcome

  1. 01Non-recourse, interest-only, below-market financing with open prepayment.
  2. 02Terms materially better than the sponsor could source directly.
  3. 03Client re-engaged BCA for a subsequent $100M assignment — the clearest measure of execution quality.
  4. 04Demonstrates the value of relationships beyond the obvious lender rolodex.
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