Axiom was engaged by a group of investors to finance the acquisition of a 400,000 sf shopping mall in Manhattan, KS called the Manhattan Town Center.  Owned by one of the largest real estate companies in the world, Forest City Enterprises, Axiom immediately agreed with the investors that the Mall was a “hidden gem”.  The Mall produced great cash flow and could be acquired at a reasonable price (approx. $27.5 million) and capitalization rate.

Axiom arranged 80% loan-to-value senior debt financing with Lasalle Bank of Chicago, IL (subsequently acquired by Bank of America) and a 15% loan-to-value mezzanine tranche with RAIT Financial Trust of Philadelphia, PA.  In addition, at closing, Axiom loaned the acquisition entity an additional $150,000 directly at closing.

Post-closing, the investor group successfully improved operations, reduced expenses, and increased the property’s rental income.  Within a few years of the original acquisition, Axiom was re-engaged to refinance the property’s debt with a $33 million securitized fixed-rate loan from Nomura Bank of New York.