Pebble Cove
San Diego, CA; 85 Units, Market Rate Apartments


The owner of Pebble Cove sought to lower his debt service cost to improve cashflow on the property that was acquired five years earlier. The project was built in two phases.

The Challenge

The older phase, built in 1978 was found to be out of compliance with HUD seismic requirements.


A portion of the proceeds from the FHA loan were used to finance reinforcement of shear walls to bring the project into full seismic compliance.  The refinance, in addition to funding needed repairs to the property, lowered the owner’s debt service cost by $165,000 per annum.