FS Credit Real Estate Income Trust Inc., a $2.5 billion non-traded real estate investment trust sponsored by FS Investments, has closed a $13.4 million senior floating-rate mortgage loan, according to a filing with the Securities and Exchange Commission.
The loan is secured by Mark 1 Apartments, a 113-unit, mixed-use multifamily property located in Las Vegas, Nevada, within walking distance of the Las Vegas Convention Center and 1.3 miles from the Las Vegas Strip.
The REIT funded the purchase of the loan with cash on hand and proceeds from its repurchase facility with Goldman Sachs Bank USA.
The loan bears interest at a floating rate of 4.0 percent over the one-month LIBOR and has an appraised loan-to-value ratio of approximately 74 percent. The initial term is 36 months with two 12-month extensions.
FS Credit Real Estate Income Trust, which is advised by FS Real Estate Advisor and sub-advised by Rialto Capital Management, plans to invest in floating-rate mortgage loans that are secured by first-priority mortgages on transitional commercial real estate properties. The offering was declared effective in September 2017, and the company’s portfolio consists of three floating-rate mortgage loans totaling $57.2 million.