Two Years Interest-Only Negotiated in Refinance of Newark Mixed-Use Building
The mixed-use building at 233 Littleton Avenue in the West Side Neighborhood of Newark, has undergone a series of capital improvements including modernized common areas and entry, a new roof, refacing of the exterior, improvements to the ground level retail space, upgrades in the HVAC and plumbing systems throughout the property and the gut renovation of 4 residential units. Having completed these improvements, the borrower sought to refinance the property to recapture a portion of vested equity.
Working with Brad Domenico, the borrower secured a $1,055,000 non-recourse permanent mortgage on the subject property with a 2-year interest-only period and a 7-year fixed rate of 4.75%. The loan represents 80% of the property’s value with a 20-year term and 30-year amortization. The proceeds of the loan will be used by the borrower to continue renovating the residential units of the building as they are vacated while also fueling continued expansion of their real estate portfolio. The loan may be prepaid at anytime based on a 5,4,3,2,1 schedule.
Progress Capital is a commercial real estate advisory company serving clients since 1990. With over $40 Billion in closed loans and $150 Million of directly funded bridge loans, we will get you to the closing table… Plain and Simple. #thatsProgress