Moses & Tucker Lead Refinancing of River Market Tower

by Arkansas Business Staff  on Monday, Jun. 9, 2014 12:00 am  

River Market Tower

Did you know the River Market Tower in downtown Little Rock is built on a new financial foundation?

The ownership group, led by developers Jimmy Moses and Rett Tucker, bought the project’s debt from an affiliate of the The Broe Group of Denver for an undisclosed sum.

The 133-unit high-rise condominium project is now backed with a two-tier loan of nearly $18.7 million from First Security Bank of Searcy and Citizens Bank of Batesville.

First Security had a nearly $15.3 million piece of that while Citizens had a nearly $3.4 million stake. Moses said that condo debt is now down to about $17 million.

Helping make the new financial deal happen were personal guarantees for $7.3 million of the debt by 19 investors in RMT II LLC. Beyond Moses and Tucker, no names are on record with the securities filing.

That covers the 50 or so unsold condos, but what about the first-floor commercial space?

This 5,922-SF piece of the development puzzle now is tied to an $816,000 loan from Arvest Bank of Fayetteville. The borrower here is another Moses-Tucker entity: Rock Retail LLC.

The commercial space was valued at $1.02 million when ownership was transferred from River Market Tower LLC to Rock Retail. Eight unidentified investors ponied up a combined $220,000 to fund Rock Retail.

The commercial lease space is occupied by Dugan’s Pub (3,103 SF), Green Earth Pharmacy (1,360 SF) and Workplace Resource Group (1,462 SF).

You might recall that Broe acquired the original mortgage on the 20-story project at 315 River Market Ave. at year-end 2012.

The loan was part of an $80 million portfolio of nonperforming loans and real estate purchased from Metropolitan National Bank of Little Rock.

Metropolitan made a $47.6 million loan to fund construction in May 2007. That loan was modified and extended in 2010 and 2011.

 

 

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