Flatbay Capital provided $5.5 million to a furniture retailer.
The company approached Flatbay in Q4/23 with the refinance opportunity. The company, which has been operating since the early 1980s, purchased a 60,000sf office space in northwest Houston in 2020 and needed capital to help fund the renovation into a new retail location.
Due to COVID, the company, despite having a strong financial history, was not able to secure a loan with a bank. Instead, it turned to another commercial real estate lender to help fund the project. The company was able to complete the renovation, but the relationship with its former lender turned sour when the lender began surprising the client with unexpected fees and excessive reporting requirements. With its note maturing, the retailer’s attorney reached out to Flatbay Capital business development officer, Lili Tafilaj, for help.
Flatbay Capital was able to put together a new, 3-year interest-only deal that unlocked equity, eased reporting requirements and reduced fees for this client. The excess cash was used to support the expansion of the company’s business.
