A well-established New York-based sponsor group was seeking high-leverage financing for a PetSmart net lease acquisition in Oregon. Many local lenders competed for the project and returned aggressive quotes, but the winning offer, the one delivering both the highest leverage and the lowest rate, came from a credit union rather than one of the larger institutions also bidding.
That outcome runs against a common assumption among sponsors: that the biggest or most familiar lender name will produce the best terms. In this deal, and many others, smaller and less obvious lender types are frequently the ones willing to stretch on leverage and price for the right asset.
Deal snapshot
| Metric | Terms |
|---|---|
| Property type | Single-tenant net lease retail (PetSmart) |
| Deal type | Acquisition |
| Market | Oregon |
| Loan amount | $3.12M |
| Rate | 5.83% fixed |
| Term | 10 years |
| Amortization | 25 years |
| LTC | 80% |
| Lender fee | 1.00% |
| Winning lender type | Credit union |
How Gumption secured the best terms
The sponsor's experience and the credit quality of the net lease tenant made the deal attractive to a wide range of lender types, but it took taking the project to a broad field to find the one, in this case a credit union, willing to combine the highest leverage with the lowest rate. Acquisition loans typically hover around 70-75% LTV/LTC, and Gumption's Q2 2026 CRE Lending Report shows an average max LTC of 75% on acquisition financing platform-wide. This project was particularly appetizing to a lender who was able to get more aggressive than usual.
Financing a net lease acquisition? Get Gumption to run your deal to banks, credit unions, and private lenders at once.