Source: Commercial Observer

Q&A with Mission Capital Principal David Tobin.

April 14, 2016

Q+A

David Tobin

Principal of Mission Capital

Commercial Observer Finance: How did you get into real estate?

Mr. Tobin: I majored in medieval and renaissance English literature, which has nothing to do with real estate. Coming out of school I spent a winter in Colorado with a buddy working in Aspen and quickly real- ized I didn’t want to be a ski bum—as much as I love skiing, it’s my passion—and I want- ed to actually make money. I had had a lit- tle carpentry and house-painting business in college and I had studied architecture as a minor that I didn’t finish, so I was very much interested in real estate. [A friend of a friend] worked at a bank called Dime Savings Bank [of Williamsburgh]. He alert- ed me to an interview opportunity and I went and I really didn’t know anything about real estate—I had taken a real estate salesperson’s class. We spent five minutes talking about real estate, but the woman in- terviewing me was a literature buff and so we spent the rest of the interview talking about Mario Vargas Llosa and Charles Bukowski and all sorts of weird literature stuff. I had three or four other rounds of in- terviews, but English literature helped me get my first job.

How has Mission Capital progressed since it was founded in 2002?

We keep expanding and growing. The team has gotten bigger and bigger. One of the interesting results of the [last] credit crisis and the sort of declining relevance of investment banks and big banking prin- cipal investments is that we get a shot at amazing talent—kids that [may have ended up] at an investment bank and stuck in a black hole of 18-hour days, with no ability to move up because [those firms] are down- sizing. We get better and better talent ei- ther coming out of college or coming out of banks who are just disillusioned with that lifestyle and that career prospect. We have an office in Newport Beach, Calif., and we’ve had kids in New York that say New York’s nice, can’t afford it, it’s too oppres- sive. We’ve had people move out there.

What challenges have met you along the way?

One of the biggest issues across all of our businesses is compliance and IT security.

David Tobin.

We were ahead of that because we have con- tracts with the government. The Federal Deposit Insurance Corporation was sort of a leader in pushing all that stuff back in 2007 and 2008. Some of our bigger clients were into it back then and now it’s everybody. To work for a bank, whether you’re selling real estate assets or loan portfolios or doing valuation or consulting, you have to have a very deep audit, dive and IT security process. At first I hated it because it was just oppressive to have to go through that stuff and change your systems and add security, but it’s become a huge issue with banking with the explosion of the inter- net and data breaches and data thefts. It keeps out everybody that can’t comply with those things. It actually has been a great way to bat- tle against larger firms and win out over small firms that haven’t made those investments.
We were growing from 2002 to 2006, we were setting up a great team as we started, and then when the credit crisis hit we were per- fectly positioned. We started getting contracts with the FDIC; we had a business of valuing assets and had a great business of selling as- sets. All during the downturn, we were in the perfect business and then in 2009 we added a debt and equity team from Ackman-Ziff— Jordan Ray and Jason Cohen—and that team is now 25 people strong around the country. They did $1.75 billion or $1.8 billion of loans—75 dif- ferent transactions—some really cool stuff like the Soho House in Chicago and the Freehand Hotel in Miami.

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Source: Real Estate Weekly

Mission Capital Advisors has arranged $35.9 million of financing for the renovation and conversion of 396 Broadway, a 10-story commercial property in Lower Manhattan.

Mission Capital secures finance for Bridgeton

Holdings ‘hotel of the futureʼ

April 27, 2016

Mission Capital Advisors has arranged $35.9 million of financing for the renovation and conversion of 396 Broadway, a 10-story commercial property in Lower Manhattan.

The borrower, Bridgeton Holdings, is
converting the vacant office property into
the Walker Hotel Tribeca, a 171-key upscale,
boutique hotel.

The Mission Capital team of Jordan Ray, Alex Draganiuk, and David Behmoaras secured the loan from a commercial bank.
“As with all construction financing, this was a challenging loan given the state of the debt markets. Mission’s support and Bridgeton’s strong track record and experience in New York City hotel operations was key in making this is a successful close,” said Draganiuk.
After acquiring the property all cash in 2014, Bridgeton developed a business plan that includes converting nine floors into 171 guestrooms and suites. Ground-floor and rooftop space will be mostly dedicated to multiple food and beverage vendors, with some of the space already leased to Blue Bottle Coffee.
The Walker Hotel Tribeca will provide panoramic views of New York City in perpetuity on floors 7-10, as it is one of the taller structures in a historic district that has height restrictions.
“Technology has changed the face of the lodging industry in recent years, as certain demographics have gravitated towards alternative room types and shared options, such as Airbnb rentals instead of traditional accommodations,” said Atit Jariwala of Bridgeton Holdings.

“Reflective of this trend, the Walker Hotel Tribeca will feature rooms with iPads that will control all in-room features, including the window shades, lighting and HVAC. In addition, the hotel will feature other newer technologies that very few, if any, other hotels have.
“With the ambiance we’re creating, and several on-site dining options, the Walker will serve as a template for the hotel of the future: a well-located, technology savvy, highly amenitized facility that caters to all.”
Broker Jordan Ray said, “This location really needed a cool, new product. The existing historic building is beautiful as is, and Bridgeton is bringing it back to life.
“We were also able to negotiate the ability to allow the sponsor to sell historic tax credits post-closing. We work on a lot of highly structured transactions and this is a pretty rare feature even for us.”
Based in New York, Bridgeton’s holdings include 60 properties in 12 states across the country.

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Source: Commercial Real Estate Direct

Mission Capital has arranged $35.9 million of financing from Centennial Bank for the redevelopment of 396 Broadway in lower Manhattan into an upscale boutique hotel.

Centennial Bank Lends $35.9Mln Against Lower Manhattan Redevelopment

April 20, 2016

Mission Capital Advisors has arranged $35.9 million of financing from Centennial Bank for the redevelopment of 396 Broadway in lower Manhattan into an upscale boutique hotel.

The property, a 10-story office building near the border between the trendy SoHo
and TriBeCa neighborhoods, is owned by Bridgeton Holdings, whichhad acquired it

in 2013 for $42 million. The property previously was thought to be a potential

apartment conversion.

"This was a challenging loan, given the state of the debt markets," explained Alex Draganiuk of Mission Capital, who with Jordan Ray and David Behmoaras arranged
the financing.

Bridgeton will redevelop most of the building into the Walker Hotel Tribeca and is
reserving its ground-floor and rooftop space for food and beverage outlets. Blue
Bottle Coffee, a boutique coffee shop, already has leased space. The property sits in an historic area that limits the ability of developers to construct tall structures. As such, its upper floors will provide panoramic views of New York.

Because of the property's historic significance – it was constructed in 1915 – Bridgeton, a New York developer with 60 properties in 12 states, will be able to sell
historic tax credits.

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Mission Capital Advisors, a national real estate services firm, has arranged $35.9 million of financing for the renovation and conversion of 396 Broadway, a 10-story commercial property located near the nexus of the TriBeCa and SoHo neighborhoods in Lower Manhattan. The borrower, Bridgeton Holdings, is converting the vacant office property into the Walker Hotel Tribeca, a 171-key upscale, boutique hotel.

Media Contact: Shlomo Morgulis Beckerman

smorgulis@beckermanpr.com
201-465-8007

FOR IMMEDIATE RELEASE

Mission Capital Arranges $35.9-Million Renovation Loan for Conversion of

396 Broadway into an Upscale, Boutique Hotel

Non-Recourse Hotel Renovation Loan Proceeds

Will Enable Sponsor to Convert from Office to Hospitality Use

NEW YORK (April 13, 2016) – Mission Capital Advisors, a national real estate services firm, has arranged

$35.9 million of financing for the renovation and conversion of 396 Broadway, a 10-story commercial property located near the nexus of the TriBeCa and SoHo neighborhoods in Lower Manhattan. The borrower, Bridgeton Holdings, is converting the vacant office property into the “Walker Hotel Tribeca,” a
171-key upscale, boutique hotel.
The Mission Capital team of Jordan Ray, Alex Draganiuk, and David Behmoaras secured the loan from a commercial bank.
“As with all construction financing, this was a challenging loan given the state of the debt markets. Mission’s support and Bridgeton’s strong track record and experience in NYC hotel operations was key in making this is a successful close,” said Draganiuk.
After acquiring the unique property all cash in 2014, Bridgeton developed a strong business plan that includes converting nine floors into 171 guestrooms and suites. Ground-floor and rooftop space will be mostly dedicated to multiple food and beverage vendors, with some of the space already leased to Blue Bottle Coffee. The Walker Hotel Tribeca will provide panoramic views of New York City in perpetuity on floors 7-10, as it is one of the taller structures in a historic district that has height restrictions.
“Technology has changed the face of the lodging industry in recent years, as certain demographics have gravitated towards alternative room types and shared options such as Airbnb rentals instead of traditional accommodations,” said Atit Jariwala of Bridgeton Holdings. “Reflective of this trend, the Walker Hotel Tribeca will feature rooms with iPads that will control all in-room features, including the window shades, lighting and HVAC. In addition, the hotel will feature other newer technologies that very few, if any, other hotels have. With the ambiance we're creating, and several on-site dining options, the Walker will serve as a template for the hotel of the future: a well-located, technology savvy, highly amenitized facility that caters to all.”
The property is situated within walking distance of many of New York City’s premier shopping and dining facilities, as well as numerous clubs, bars, and music venues. With proximity to more than a dozen bus and subway lines, it also affords easy access to virtually all other areas of the city.
“This location really needed a cool, new product. The existing historic building is beautiful as is, and Bridgeton is bringing it back to life,” said Ray. “We were also able to negotiate the ability to allow the sponsor to sell historic tax credits post-closing. We work on a lot of highly structured transactions and this is a pretty rare feature even for us.”
Bridgeton Holdings is a fully integrated owner, developer, and manager of commercial and residential
real estate. Based in New York, the firm’s holdings include 60 properties in 12 states across the country.
Mission Capital is extremely active in arranging financing for hotel, office, retail, multifamily, and industrial properties across the country. The firm’s recent hospitality transactions include securing $60 million in construction financing for a hotel in downtown Los Angeles; arranging $31.5 million in acquisition financing for a university-oriented lifestyle hotel in Berkeley; and facilitating $19 million in acquisition and renovation financing for the conversion of a Miami Beach residential property to hospitality use.

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 Raleigh, North Carolina. The firm delivers value to its clients through an integrated platform of advisory and transaction management services across debt, mezzanine, and JV equity placement; commercial and residential loan sales; and loan portfolio valuation. Since its inception, Mission Capital has advised a variety of leading financial institutions and real estate investors on more than $65 billion of financing and loan sale 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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Mission Global, a mortgage services due diligence business and affiliate of Mission Capital Advisors, today announced that Aaron Scott Taylor has joined the firm as compliance officer.

Media Contact: Amanda Ferraro Beckerman

aferraro@beckermanpr.com
201-649-1186

FOR IMMEDIATE RELEASE

Mission Global Continues Rapid Growth with Hiring of

Aaron Scott Taylor as Compliance Officer

Well-Regarded Compliance Professional Brings Valuable Experience to New Position

DENVER, Colo. (April 6, 2016) — Mission Global, a mortgage services due diligence business and affiliate of Mission Capital Advisors, today announced that Aaron Scott Taylor has joined the firm as compliance officer. Taylor will report to A. Dennis Zehnle, chief operating officer of Mission Global, and will be responsible for advising the company’s management and staff on new and changing regulatory risks.

In his new role, Taylor will provide insight on all consumer state and federal laws and regulations governing real estate lending.
“Mission Global is a single-source solution for institutional lenders and regulatory compliance is one of the vital services we provide to the industry,” said Dennis Zehnle, executive vice president of Mission Global. “Aaron is an excellent fit for this role, and we’re confident that he will deliver immediate value to our client base.”
In addition to closely tracking consumer laws and regulations, Taylor will work closely with the firm’s various business units to implement new proprietary systems and software in response to required changes of law related to due diligence processes. He will also serve as Mission Global’s industry liaison, working with outside counsel and other industry groups such as the Mortgage Bankers Association and SFIG.
Prior to joining Mission Global, Taylor held similar positions at Clayton Holdings and Promontory Financial Group, where he consistently tracked new rules and policies applying to the mortgage industry, such as the Dodd Frank Act and other prominent regulatory matters.
“This is an exciting opportunity that will allow me to utilize my previous compliance experience to aid the impressive group of clients that are serviced by Mission Global’s seasoned group of industry professionals,” said Taylor. “I look forward to settling into this new role, and I’m eager to make an immediate impact on Mission Global’s operations.”
Taylor earned his Juris Doctorate from The John Marshall Law School in Chicago, IL and a Bachelor of Arts in Sociology from The University of North Carolina at Wilmington. Taylor also holds a specialty in Elder Law, a Mediation certification, and has studied at universities in Argentina, Australia, Denmark, England, Germany and Scotland.

About Mission Global, LLC

Mission Global, LLC has been formed to unite the capabilities of Mission Capital mortgage services business with the extensive due diligence services and experience of Global Financial Review, to create a single source solution for investors. Mission Global services will now include data integrity review, collateral document review and cure, curative title work, agency delivery and trade support, due diligence and securitization support, regulatory compliance, origination support, re-underwriting, and forensic reviews. For more information, visit www.missionglobal.com.

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Source: Commercial Observer

CGA Capital provided Friedman Capital a $24.6 million mortgage for a property in the East End of Washington DC. Mission Capital arranged the debt for the borrower.

April 1, 2016

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