A partnership is seeking $55 million of floating-rate debt for the construction of a luxury hotel in the Tribeca section of Lower Manhattan. Mission Capital, the partnerships’s advisor, is pitching the loan assignment to banks, debt funds and mortgage REITs.
A JK Equities partnership is looking for up to $200 million of floating-rate debt to finance the construction of a long-stalled residential tower in Queens, NY. Mission Capital, the partnership’s advisor, is pitching the loan assignment to debt funds, banks, mortgage REITs and insurance companies.
Tl£ WEEKI.Y UPDATE ON REAL ESTATE FINANCE AND SECURffiZATION ALERT
A JK EquHies partnershipis looking for up to 5200 million of floating-rate debt to finance the construction of a long-stalled residential tower in Queens, N.Y.
The property would be built on the site of the shuttered Rl<O Keith's Theater, on Northern Boulevard and Main Street in Flushing.. That structure will be demolished, except for its landmarked lobby, which will be incorporated into the tower.
Previous devdopers had planned the project for several years, only to run into financial problems, and red tape related to the theater's landmark status.JK Equities, of Port Washing ton, N.Y., and its partners acquired the theater for $30 million in December 2013.
The permits call for a 17–story glass-and-steel building, with
357 luxury condominiums, 323 parking spots, 24,000 square feet of retail space and 15,000 sf of community space. But the JK Equities partnership is seeking approval from the local commu nity board to amend the plan, according to theQueens Ctuoni.cte newspaper. It wants to reduce the number of units to 269 but
make them bigger, shave the number of parking spaces to 252, increase the building's height by 15feet and alter the facade.
Construction can't begin without the board's approval, but "the wheds are in motionsaid a person close to the process. The goal is to begin construction by June and finish by early
2018.
Mission Capital, the partnership's advisor, is pitching the
loan assignment to debt funds, banks, mortgage REITs and
insurance companies.
The 3,000-seat theater opened in 1928 and booked vaude ville acts and showed movies for decades. Its ornate "Mexican baroque" lobby was designated a New York City landmark and put on the National Register of Historic Places in 1984.But two years later, the theater closed for good, a victim of its immense size.
Since then, multiple developers came up ith
to redevelop the site, only to be stymied. The JK Equities part
nership acquired the theater from developer Patrick Thompson,
who had purchased it in 2010.The previous owner, ew
developer Shaya BoymeJgreen, had arranged the permits for the condo plan,but defaulted on a $20 million loan from Doral Bank.
The site is along Flushings primary retail corridor,one mile east of Citi Fidd, home of the New York Mets baseball team.It is a few blocks from Sky View Pare, a much larger condo com plex set to begin its second phase of construction. The com pleted first phase encompasses two towers with 448 units atop an 800,000–sf retail center.The devdoper, Onex Real Estate of Toronto, is seeking a $450 million loan to finance the construc tion of three more towerswith 805 units.
There is strong demand for condos in Flushing amid meager supply. Over one especially busy weekend in Januar)', 150 units in Sky View Pare were presold. •!•
The Debt & Equity Finance Group has arranged $29 million in non-recourse acquisition and renovation financing for 2415 Third Avenue, an eight-story, 175,000-square-foot, commercial loft property in the Mott Haven section of The Bronx, New York.
Media Contact: Shlomo Morgulis Beckerman
smorgulis@beckermanpr.com
201-465-8007
NEW YORK (March 10, 2015) — Mission Capital Advisors, a leading national real estate capital markets solutions firm, today announced that its Debt & Equity Finance Group has arranged $29 million in non-recourse acquisition and renovation financing for 2415 Third Avenue, an eight-story, 175,000- square-foot, commercial loft property in the Mott Haven section of The Bronx, New York.
The Mission Capital team of Jonathan More, Ari Hirt, Steven Buchwald and David Behmoaras secured the non-recourse loan on behalf of a joint venture between Hornig Capital Partners and Savanna.
The commercial loft office building is situated several blocks from Manhattan in Mott Haven’s Piano
District in the South Bronx. The commercial loft office building is in very close proximity to the 4, 5 and
6 Subway lines. The financing will allow ownership to initiate a capital improvement and lease-up program to the property, including upgrades to elevators, bathrooms, windows, corridors and HVAC systems. The property will be rebranded as the “Bruckner Building.”
“Utilizing their keen market insight, Savanna and Hornig selected this property in an up-and-coming neighborhood, and decided to reinvigorate it to allow it to reach its full potential,” More said. “In addition to the strong market conditions that exist and the building’s many below-market rents, the property also has a very strong investment basis, owing to the sponsor’s unique ability to identify emerging neighborhoods early in their trending lifecycles.”
“To secure this excellent financing package, we marketed the opportunity comprehensively, canvassing our contacts at various types of lender institutions to obtain the ideal capital partner for the buying partnership,” Hirt said. “Ultimately, we arranged non-recourse financing from a bank at very attractive rates and terms. The attractive deal terms for this transaction will allow the partnership to engage in its capital improvement program while maintaining limited downside risk.”
A leading player in New York City debt and equity advisory, Mission Capital recently arranged $188.5 million in non-recourse construction financing for the development of Queens Plaza South, a luxury rental property in Long island City. Other recent New York City deals include construction financing for 10
Sullivan Street, a ground-up condo development in SoHo, and acquisition financing for 66 Pearl Street, a mixed-use residential property in Manhattan's Financial District.
About Mission Capital Advisors
Founded in 2002, Mission Capital Advisors, LLC is a leading national, diversified real estate capital markets solutions firm with offices in New York City, Florida, Texas, California and Mobile, Alabama.
The firm delivers value to its clients through an integrated platform of advisory and transaction management services across commercial and residential loan sales; debt, mezzanine and JV equity placement; and loan portfolio valuation. Since its inception, Mission Capital has advised a variety of leading financial institutions and real estate investors on more than $45 billion of loan sale and financing transactions, as well as in excess of $14 billion of Fannie Mae and Freddie Mac transactions, positioning the firm strongly to provide unmatched loan portfolio valuation services for both commercial and residential assets. Mission Capital’s seasoned team of industry-leading professionals is committed to achieving clients’ business objectives while maintaining the highest levels of integrity and trust. For more information, visit www.www.missioncap.com.
Media Contact: Shlomo Morgulis Beckerman
201-465-8007 smorgulis@beckermanpr.com
ALLENTOWN, Penn. (March 17, 2015) — Mission Capital Advisors, a leading real estate capital advisory firm, announced that its Debt & Equity Finance Group arranged $41 million in acquisition and repositioning financing for 1110 American Parkway NE, a 563,000-square-foot, Class-A office building in the heart of Pennsylvania’s fast growing Lehigh Valley.
The Mission Capital team of Jonathan More, Alex Draganiuk and Axel DeAngelis represented Patriot
Equities on an exclusive basis in securing the financing.
“Our team was tasked with the challenge of arranging full leverage financing on a short-fuse acquisition with 40 days to close. We were also presented with a host of moving parts and unknowns, such as substantive property lease-up during the contract period, including post-lender term sheet execution prior to loan closing, which required additional negotiation and capital source flexibility,” said More. “The Property itself is the top suburban office asset in Pennsylvania. The Sponsor succeeded in tying it up directly off-market at a very attractive basis after 10 years of courting the seller. Patriot Equities’ institutional-quality sponsorship, along with aggressive and exemplary leasing prowess during the contract period, helped our team craft the right story needed to nearly full-leverage financing.”
The 2002-built, Class-A office property was developed by a subsidiary of Lucent, an AT&T joint venture, which spared no expense in creating this best-in-class asset with top-tier infrastructure and amenities. Upon acquisition, Patriot Equities is set to invest approximately $7 million in capital improvements, including renovations to the lobby and common areas. The sponsor will also initiate tenant improvements for the 475,000 square feet of leases negotiated and executed during the contract period.
“With Patriot Equities’ reputation as a premier real estate investor and the excellent condition of this Class-A property, we received significant interest from wide array of capital sources,” said Draganiuk, a Lehigh Valley native with an intimate knowledge of this strategically located submarket and the Lehigh Valley’s continued growth and evolution as an increasingly substantial market. “Ultimately, we were able to effectively portray the story of an extremely attractive investment basis in a well-located, one-of-a-kind asset with top quality institutional sponsorship. This enabled us to successfully arrange very favorable nearly full-leverage financing at an all-in blended interest rate in the mid-single digits with a small equity participation.”
Mission Capital is extremely active in arranging highly structured financing nationally. Recently, the firm
has been very active in the Northeast, Midwest and Western United States. Recent transactions arranged by Mission include financings for three hotels in Chicago; financing for office properties in Manhattan and the Bronx, NY; a multifamily project in Indianapolis; and separate financing for retail shopping
centers in Detroit, Troy and Farmington Hills, Michigan. The firm is also currently arranging financing for large construction and renovation projects in the Northeast and Florida, including a $200MM ground-up non-recourse construction loan and a $25MM office acquisition/renovation loan.
About Mission Capital Advisors
Founded in 2002, Mission Capital Advisors, LLC is a leading real estate capital advisory firm with offices in New York City, Florida, Texas, California and Mobile, Alabama. The firm delivers value to its clients through an integrated platform of advisory and transaction management services across commercial and residential loan sales; debt, mezzanine and JV equity placement; and loan portfolio valuation. Since its inception, Mission Capital has advised a variety of leading financial institutions and real estate investors on more than $45 billion of financing and capital markets transactions, positioning the firm strongly to provide capital markets financing and solutions. Mission Capital’s seasoned team of industry-leading professionals is committed to achieving clients’ business objectives while maintaining the highest levels
of integrity and trust. For more information, please visit www.www.missioncap.com.
Mission Capital Advisors announced that its Asset Sales Group has been retained as the exclusive financial advisor for the sale of 13450 North Black Canyon Highway, a 352,000-square-foot office building in Phoenix, Arizona.
Media Contact: Shlomo Morgulis smorgulis@beckermanpr.com
201.465.8007
PHOENIX, Ariz. (March 3, 2015)— Mission Capital Advisors, a leading national real estate capital markets solutions firm, today announced that its Asset Sales Group has been retained as the exclusive financial advisor for the sale of 13450 North Black Canyon Highway, a 352,000- square-foot office building in Phoenix, Arizona.
On this assignment, Mission Capital Vice President Howard Freedman will collaborate with Ray Cashen of Cashen Realty Advisors (acting as broker), with the two firms jointly soliciting bids for the property. Mission will be providing potential buyers with an array of due diligence data,
which the firm developed to demonstrate the property’s significant value.
“Ideally located in the Deer Valley submarket of Phoenix, 13450 North Black Canyon Highway presents an attractive asset to investors looking for a value-add opportunity,” said Freedman.
“The Phoenix office market has experienced six consecutive quarters of declining vacancy, which has led to the lowest vacancy level since the recession. In 2014, the Phoenix office market experienced its strongest occupancy growth since the last market peak and the declining vacancy has spurred steady increases in asking rents across all buildings classes. With the Phoenix market continuing its growth, we are sure to see significant interest from opportunistic investors.”
In addition to the recently renovated, two-story office building, the property contains a large,
1,400-car parking lot. Current tenants include a division of the State of Arizona and several established corporations.
About Mission Capital Advisors
Founded in 2002, Mission Capital Advisors, LLC is a leading national, diversified real estate capital markets solutions firm with offices in New York City, Florida, Texas, California and Mobile, Alabama. The firm delivers value to its clients through an integrated platform of advisory and transaction management services across commercial and residential loan sales; debt, mezzanine and JV equity placement; and loan portfolio valuation. Since its inception, Mission Capital has advised a variety of leading financial institutions and real estate investors on more than $45 billion of loan sale and financing transactions, as well as in excess of $14 billion of Fannie Mae and Freddie Mac transactions, positioning the firm strongly to provide unmatched loan portfolio valuation services for both commercial and residential assets. Mission Capital’s seasoned team of industry-leading professionals is committed to achieving clients’ business objectives while maintaining the highest levels of integrity and trust. For more information, visit www.www.missioncap.com.
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