Sterling Extends $10 Million Loan to Affiliate

The unsecured revolving note offers flexible repayment terms and reinforces internal capital support.

July 01, 2025

Revolving credit gives Sterling affiliate financial flexibility

Sterling Real Estate Trust, also known as Sterling Multifamily Trust, has provided a revolving line of credit to one of its affiliates—Sterling Office and Industrial Properties, LLLP. The agreement, signed on June 25, 2025, lets the affiliate borrow up to $10 million at a fixed interest rate of 5.25%.

The funding comes through Sterling’s operating partnership, Sterling Properties L.L.L.P., and is structured to support flexibility. The borrower can draw on the loan as needed and repay early without penalty. If the affiliate decides to settle the balance ahead of schedule, there’s no additional cost.

The arrangement includes standard protections. If the borrower defaults, the lender can accelerate the payment and require all outstanding amounts to be paid immediately. Sterling Real Estate Trust guarantees the note, adding a layer of support behind the commitment.

Internal lending keeps capital moving

No additional financial schedules or disclosures were included in the filing. The note itself is the focus. Still, the move points to how Sterling is deploying capital internally—supporting related entities without turning to outside financing. That approach can help preserve speed and control, especially in markets where conditions shift quickly.

The trust filed the agreement on June 30, 2025, with the document signed by President Megan E. Schreiner.