Star News

The Obama Administration's Economic Advisory Panel said recently that “the United States should plan to possibly provide a second round of stimulus funds to prop up the economy,” implying that recovery is still not in hand. With corporate earnings season upon us, many economists believe that this news will adversely impact earnings going forward. Concerns over mounting debt were underscored by a report showing a record number of cash-strapped consumers falling behind on their credit cards in the first quarter of 2009.

Several Congressional Democrats and Republicans, prominent economists, and many Americans have serious reservations about funding a second stimulus package given what little positive information has been divulged on the nation's first stimulus package. We will keep you posted…

Penstar recently obtained a loan quote for the refinance of a 75-unit apartment complex in Albuquerque, New Mexico. The lender offered a 60% loan to value permanent loan, fixed at 6.5% for 5 years, a 30-year amortization, and will require a personal repayment guarantee. The prepayment is structured at 5% year one, 4% year two, 3% year three, 2% year four, and 1% year five. To discuss, please contact Steven Hamermesh at (818) 883-9609 or Hamer@PenstarAdvisors.com

Hot Money
Equity from $5 Million to $15 Million for Office, Anchored Retail and Multi-family

Penstar is currently working with a West Coast Equity fund actively seeking Joint Venture opportunities ranging from $5 million to $15 million on anchored retail, office, and multi-family properties located West of Colorado. The fund will capitalize transactions ranging from 80% to 90% of the total capital stack. Typical hold periods are from 3 to 5 years and sponsors must be financially capable as well as have recent owner/operator experience of commercial real estate. For more information, please contact David Stepanchak at (818) 883-9611, or via email at DStep@PenstarAdvisors.com.

Helpful Humor

We at Penstar understand the challenges of the commercial real estate business. The best antidote for those challenging transactions is to take a moment to have a hearty laugh. Helpful humor is our way of infusing laughter into your work-week. The anecdotes may not all be real estate themed but we hope you will enjoy them just the same.

“The American Medical Association (AMA) Weighs in on the New Economic Stimulus Package”

The Allergists voted to scratch it, but the Dermatologists advised not to make any rash moves. The Gastroenterologists had sort of a gut feeling about it, but the Neurologists thought the Administration had a lot of nerve. The Obstetricians felt they were all laboring under a misconception. Ophthalmologists considered the idea shortsighted. Pathologists yelled, “Over my dead body!” while the Pediatricians said, ‘Oh, grow up!’ The Psychiatrists thought the whole idea was madness, while the Radiologists could see right through it. The Internists thought it was a bitter pill to swallow, and the Plastic Surgeons said, “This puts a whole new face on the matter.” The Podiatrists thought it was a step forward, but the Urologists were pissed off at the whole idea. The Anesthesiologists thought it was a gas, and the Cardiologists said it didn't have heart.

In the end, the Proctologists won out, leaving the entire decision up to the %@#holes in Washington.