$3 Million Bridge Loan Directly Funded by Progress Direct
Newark is a city rich in history that has seen a resurgence over the past several years. With its access to mass transit, tax incentives, existing and historic architecture, newly elected officials, and varying urban redevelopment projects, it’s no wonder why many owners/developers are turning to the most populous city in NJ to do business. A new mixed- use development sited to occupy downtown Newark is just the latest exciting project Progress has had the pleasure of being involved with.
The project encompasses the assemblage of 4 mixed-used buildings which will be demolished to make way for a newly constructed 23-story tower consisting of a mix of residential and commercial units, as well as amenities for residents.
The owner engaged Brad Domenico of Progress Capital to arrange a short-term pre-development loan to refinance the initial acquisition loan on the property, while construction financing was arranged for the development project.
THE CHALLENGE:
- a 550-gallon underground storage tank (UST) was discovered during site due diligence
- the bank required the tank to be removed prior to closing
- their acquisition loan was set to mature before the UST could be removed
THE SOLUTION:
Kyle Altenau of Progress Direct stepped in to provide a $3,000,000 bridge loan to the client to pay off the existing debt and fund the demolition of the existing buildings in less than 2 weeks without the requirement of removing the 550-gallon UST. Simultaneously, Brad Domenico of Progress Capital will begin the process of arranging construction financing for the project.
The property’s unit mix includes residential apartments on the upper levels, while the ground floor will host several retail units and a café integrated into a lounge/shared co-working space. Amenity space offers tenants a rooftop deck with outdoor dining area, firepits and expo kitchen area for private parties or large events.
The site is situated in the Downtown area of New Jersey’s largest and most populated city of Newark. The heavily desired area is surrounded by Rutgers University Newark Campus, NJIT, and Essex County College and is located 4 miles from Newark International Airport and 15 miles from New York City. Additionally, public transportation and major highways are in close proximity making traveling, commuting and recreational activities easily accessible.
FREE BRIDGE LENDING QUOTE
PROGRESS CAPITAL is a commercial real estate mortgage advisory firm specializing in securing debt financing for CRE owners and developers for more than 30 years.
PROGRESS DIRECT provides bridge loans to owners, investors and developers in need of funding outside the scope of traditional lending options in a fast and efficient manner without compromising credit quality.
