Progress Capital Arranges $9.9 Million in Acquisition Financing for Jersey City Multifamily Portfolio
Kathy Anderson of Progress Capital arranged a $9,900,000 credit facility for a valued client to purchase (2) multifamily buildings totaling 82 units located in the Journal Square section of Jersey City.
- The buildings were mismanaged with over 50% of the units vacant
- Many remaining tenants have legacy leases with low rents
- Borrower needed funds to acquire the building and renovate lobby, common areas and all vacant units
- Property did not provide sufficient DCR until renovated and stabilized
Kathy structured a commercial loan for the Borrower that provided a comprehensive plan for renovation and stabilization with a permanent option.
- $8,400,000 acquisition loan advanced at closing
- $1,000,000 renovation loan advanced as needed
- $500,000 interest reserve
- Three years interest only at LIBOR plus 275 floating
- Permanent Option upon stabilization with a SWAP choice
- No Exit Fee
The buildings are located in the Journal Square section on Garrison and Baldwin Avenues in Jersey City. Both buildings are walk ups that have been owned by the same family for 30+ years and are ready for an upgrade.
Progress Capital is a commercial real estate advisory firm with over $40 Billion in closed loans and $150 Million of directly funded bridge loans. With over 30 years of experience, Progress continues to provide value to clients by securing the best financing options available in the market. We get you to the closing table…Plain and Simple.