NBS Financial's Harding, Stapleton Secure $10M for Oregon City's Safeway-Anchored Hilltop Mall

NBS Financial Services Senior Vice President Todd Harding and Associate Finance Officer Mick Stapleton have arranged $10 million for the Safeway-anchored Hilltop Mall Shopping Center in Oregon City.

The Safeway, which opened in November and also has a fueling station, is the company’s first store in Oregon City in nearly 40 years. It sits on the former site of Danielson’s Fresh Marketplace, which closed in March 2010 and was demolished. Former Danielson’s owners Craig Danielson and Carol Suzuki own and operate the shopping center, which comprises about 180,000 sf and includes a movie theater, banks, restaurants and more.

Though it was sad to see the closure of Danielson’s, a community fixture for 35 years, Safeway is about 20,000 sf larger and employs more staff (about 150 people), Harding said.

“The new Safeway is a great addition to Oregon City, and the community is very excited about it,” Harding said, noting that the store’s opening was attended by Congressman Kurt Schrader, Clackamas County Sheriff Craig Roberts and many Safeway officials. The Safeway is also cited differently than Danielson’s which, along with a new road and other improvements, has given the shopping center a fresh look and feel.

Allstate, one of NBS Financial’s newest correspondent relationships, provided the loan. One challenge the NBS Financial team had to overcome was that some new space at the shopping center was vacant at the time they were seeking financing. But Allstate recognized that a strong, grocery-anchored shopping center would have no trouble gaining tenants.

Seattle Commercial Real Estate Market Poised for Strong 2012

Overall, Seattle's commercial real estate market performed well during the Fourth Quarter, and we expect to see a positive year in 2012. The fact that Seattle is home to major companies like Boeing, Microsoft, Google and Amazon.com, which are consistently growing and taking more commercial space, attracts interest from investors and lenders alike.

Click here to read our January 2012 Market Watch for an overview of how Seattle's various property types performed during Fourth Quarter.

Life Companies Stepping Up Commercial Lending

Life insurance companies are stepping up their allocations for commercial mortgages as banks have cut back on lending. That’s according to The New York Times, which highlighted this trend in an October article. According to the article, life insurance companies funded $15.7 billion worth of commercial mortgages during Second Quarter, the highest quarterly volume since 1965, when the American Council of Life Insurers began tracking this data.

The article highlights the advantages life insurers have in providing funding. They generally underwrite conservatively, meaning lending only to more credit-worthy borrowers and on quality, well-located properties. They keep loans on their balance sheets, in contrast to investment banks, which issue bonds against the loans.

Life companies also generally offer lower rates than banks on a non-recourse basis, and their portfolios tend to do well because of their conservative lending and active management. For instance, Fitch Ratings said that at the end of 2010, 99.6% of life insurance company mortgages were in good standing.

NBS Financial has cultivated relationships with life companies since our company was founded in 1932, and today we have relationships with more than 50 life insurance lenders. These lasting relationships allow us access to billions of dollars to fund all commercial property types. We also offer in-house loan servicing, and take great pride in the quality and performance of our $1.65 billion loan servicing portfolio.

In addition to representing life insurance company lenders, NBS Financial Services has represented banks, conduits (CMBS), pension funds and private equity. With access to various lending sources, NBS Financial has the ability to finance the entire capital stack.

Though today’s interest rates are historically low, the commercial mortgage market can change rapidly. Call your NBS Financial Finance Offi cer today to find out more about financing your commercial property.

Griggs Selected to Serve on MBA Board

NBS Financial Services President Ken Griggs has accepted a nomination to serve on the Mortgage Bankers Association (MBA) Commercial Real Estate/Multifamily Finance Board of Governors (COMBOG).

COMBOG is comprised of MBA member executives from around the nation representing all aspects of the commercial/multifamily real estate finance industry. COMBOG leads the strategic development of MBA's commercial/multifamily policy, and initiatives as well as best practices and standards. It represents the diverse interests of MBA's member companies through standing councils, which are led by industry leaders and supported by expert staff, and special work groups and task forces.

Griggs has served as a finance officer with NBS Financial since 1993. He has originated over $1 billion in finance transactions for a wide variety of property types throughout the Northwest and around the country. He has been recognized as NBS Financial’s Top Producer many times, and became the company’s President in June.

Espy Joins NBS Financial as Manager of Loan Servicing

Jan Espy, a longtime property manager in Portland, has joined NBS Financial Services as Manager of Loan Administration.

In this position, Espy oversees loan closings, payment collection, escrow and financial analysis, property inspections, assumptions and acquisitions, payoffs, maturities, lease analysis, insurance requirements, investor reporting and customer service, while supervising the loan administration staff.

Espy has extensive experience in the commercial real estate industry, and has managed more than 6 million square feet of retail, office and industrial properties in the Portland metro area during her career. She has expertise in budget preparation, monthly financial reporting, construction and service contract supervision, capital and tenant improvements, tenant and owner relations, monthly and quarterly investment reporting, and working closely with institutional investors. Prior to joining NBS Financial, she was a Senior Property Manager at Portland’s Kidder Matthews office.

Espy earned a BA in sociology from Washington State University, and studied accounting and business administration at Portland State University. She is a Real Property Administrator (RPA) and licensed Oregon real estate broker.

Patterson to Receive NAIOP Developing Leaders Award

Andrew Patterson, an Associate Finance Officer with NBS Financial Services, is a 2011 recipient of the NAIOP Developing Leaders Award, which honors young commercial real estate professionals from around the country for their valued contribution and commitment to the industry.

The Developing Leaders Award, which honors up-and-coming professionals who have distinguished themselves in their profession and show great promise as future leaders of the commercial real estate industry, will be presented on Oct. 19 at Development ’11, NAIOP’s annual meeting in Scottsdale, Arizona.

Patterson has been with NBS Financial since 2007. He facilitates the underwriting process on multi-million dollar loans for office, retail, industrial and multifamily properties. Patterson serves as the Washington chapter NAIOP Developing Leaders Committee Co-Chair, and has been a member of the NAIOP Washington chapter for nearly 5 years.