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Thursday, Mar 28, 2024

SoCal CDC Increases Small Business Loan Offerings

SoCal CDC, a Santa Clarita-based small business lender, recently received certification from the U.S. Small Business Administration and can provide certain commercial real estate loans to small businesses. Small businesses are eligible to receive a SBA 504 loan, which provides long-term, fixed-rate financing for major fixed assets, including commercial buildings or capital equipment. In a typical SBA 504 transaction, traditional banks supply 50 percent of the eligible financing, and an SBA-approved certified development corporation provides a second mortgage equal to 40 percent of the eligible financing, according to the organization. The borrower puts in 10 percent. SoCal CDC President Silverio Robledo said this is an opportune time for small business owners to obtain SBA financing for commercial real estate. “Real estate prices are low, interest rates are low and the SBA 504 loan program offers up to 90 percent financing,” Robledo said. The loan program enables small business owners to purchase industrial or commercial buildings at below-market interest rates. It also allows them to remodel existing buildings, construct new facilities and refinance commercial mortgages that meet SBA parameters or purchase equipment that has an economic life of at least 10 years. Small business owners also have the opportunity to obtain SBA loans to refinance commercial mortgages. “In working with SoCal CDC, we look forward to being able to offer growing small businesses in the Santa Clarita Valley another financing option,” said Josh Mann, manager of business retention and marketing for the Santa Clarita Valley Economic Development Corporation. CB Richard Ellis Matt Dierckman, Dave Harding, Greg Geraci and Billy Walk of CB Richard Ellis represented the buyer and seller in a transaction valued at about $3.94 million. The transaction included the sale of a 36,480-square-foot-building located at 2935 N. Ontario Street in Burbank. In another CBRE transaction, the four-person team represented the tenant, Scenic Expressions, in the transaction of a 29,920-square-foot building located in Sun Valley at 10830 Cantara St. The building has a lease consideration for $845,103. Both transactions are entertainment-related, Dierckman said. “That is a good sign because the entertainment market in the Valley is starting to pick back up again,” he said. Bennett Robinson of CBRE represented the landlord, Lowell & Lenore Gronich Trust, in the Cantara Street property transaction. Lee & Associates A multi-tenant building was sold for $2.55 million to a private investor, according to Jack Schlaifer, senior vice president at the LA-North/Ventura-based office. Schlaifer represented the seller, H&D Osborne Investments. Located at 21026 Osborne St. in Canoga Park, the five-unit building is 22,100 square feet. “The property is very well-located on the border of Chatsworth with a good mix of unit sizes, making it a very attractive investment opportunity,” said Schlaifer, noting that several offers were received on the property. Scott Caswell with Delphi Business Properties represented the buyer West Valley Industrial, LLC. In a second Lee & Associates transaction, Robert D. Erickson and Trevor Belden, principals of Lee & Associates-LA North/Ventura, Inc., completed two transactions in Burbank. Totaling more than 12,000 square feet, one office building is located at 607 S. Glenoaks Blvd. at 8,870 square feet. The second one is located at 601 S. Glenoaks Blvd. at 3,304 square feet. The landlord of the properties is Jamison Properties. Martin Rutherford of Jones Lang LaSalle represented the leaser Infinity Insurance Co. in the 607 S. Glenoaks Blvd. transaction. The property at 601 S. Glenoaks Blvd. was leased by Qube Cinema and represented by Joseph Selbo with Charles Dunn Co. “With supply still exceeding demand in Burbank it’s important to focus on the unique features of a building,” Erickson said. “We were able to offer Infinity a dedicated parking area that allows its customers easy access for inspections and other business. We were also able to provide signage that offered the visibility they needed.” NAI Capital John Cserkuti and Bert Abel with NAI Capital’s Santa Clarita office represented Division K Properties in a 10-year lease of a retail space to AutoZone. The 6,300-square-foot building is located at 5022 W. Ave. N. in Palmdale, which was formerly occupied by Hollywood Video. It is located in an Albertson’s shopping center in West Palmdale’s Quartz Hill. AutoZone is a leading distributor of automotive replacement parts and accessories with more than 4,600 stores in the U.S., Puerto Rico and Mexico. Mike Lundin, independent broker, represented AutoZone. The value of the lease was not disclosed. Grubb & Ellis Roger Beck, senior vice president and Gelena Skya, senior associate of Grubb & Ellis’s office group in north Los Angeles, completed two transactions totaling more than 43,000 square feet. The duo represented Zindagi Games of Camarillo in a purchase of 251 Camarillo Rancho Road. The building is 38,014 square feet. Zindagi Games is expected to move into the building this year and turn the building into a technology facility. Colliers International represented the seller. In the second transaction, the Grubb & Ellis pair represented Bradford and Barthel LLP in a long term lease at 5720 Ralston Ave. in Ventura. The office space is about 5,346 square feet. The law firm is relocating into the space from a smaller office in Ventura. It is expected to move into the building by the end of the year. Bill Clark of CB Richard Ellis represented the property’s owners, CT Realty Investors of Alisa Viejo. Staff Reporter Mary Catherine Holcomb can be reached at (818) 316-3124 or at [email protected].

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