Loan needed for the construction of a 65,976/102-bay golf/recreational facility.
Completion guaranty from borrower and Topgolf.
Borrower purchasing property from Topgolf to finish the construction of their facility.
Topgolf acquired the site in October 2017 and commenced construction.
Topgolf signed 20-year absolute net lease at closing and will begin paying annual rent of $2.759MM when property is open for business (anticipated date of October 2018). Pays rent equivalent to loan interest amount during construction.
Being constructed by ARCO/Murray National Construction Company – has built all of the existing Topgolf locations and is under a master build contract.
Topgolf’s rent reflects a 11% debt yield on loan. Anticipated exit cap rates of 7-8% for similar product type.