Mission Capital Advisors said it is currently accepting bids for a commercial real estate mortgage loan and real estate owned (REO) portfolio with a $441 million outstanding balance.
According to a release from the firm, the sale offers prospective bidders a chance to have sub- and nonperforming assets secured by different collateral types, such as retail, office, developed condominiums and homes, as well as commercial and residential development land, student housing and self storage, throughout multiple states.
On behalf of an unidentified regional bank seller, the firm is initially soliciting indicative bids from prospective bidders to buy individual loan pools, any combination of loan pools, or the entire portfolio.
There are 80 loans or REO assets available overall, which covers 27 loans in Arizona, one REO in Arizona, 15 loans in Florida, 13 loans and one REO throughout Illinois and Missouri, nine loans in Minnesota, four loans in both Wisconsin and Colorado; five loans and one REO in other states.
"Local investors are betting that demographics (in Arizona) will continue to be strong after the economy begins turning around," said Stephen Emery, managing director of sales and trading at Mission. He added that the investor base for land assets in Arizona is "very deep" and is comprised mostly of local real estate investors who generally have staying power.
By contrast, large institutional or opportunity funds that look to buy in bulk at extremely low prices and aim for quick exits from their investments.
Mission Capital, in conjunction with the seller, has prepared a comprehensive array of due diligence materials that is available to prospective bidders who execute confidentiality agreements. A detailed offering memorandum and confidentiality agreement can be found at www.missioncap.com.