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Friday, 13 July 2018

$70Mln of Bridge Financing Arranged for Philadelphia Apartment Redevelopment

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Developer Eric Blumenfeld, who redeveloped the 126-year-old Divine Lorraine Hotel in Philadelphia into a 101-unit apartment property with some 20,000 square feet of ground-floor retail space, has lined up $70 million of bridge financing for the property.

The financing, arranged by D2 Capital Advisors of suburban Philadelphia, was provided by Guggenheim Real Estate, Susquehanna International Group of Philadelphia and the Philadelphia Redevelopment Authority.

D2 earlier this year had arranged $56 million of construction financing for another Blumenfeld redevelopment, the Philadelphia Metropolitan Opera House, which he's converting into a Live Nation entertainment venue.

The Lorraine property, at 699 North Broad St., was constructed in 1892 as apartments, but converted to a hotel at the turn of the last century. It then became home to the Divine Peace Mission Movement and closed in the late 1990s. The property's apartment units, referred to as 640 Lofts, are now nearly fully leased. Units have thick exterior walls, some of which are exposed brick, stainless-steel appliances and granite countertops. One-bedroom units have a starting monthly asking rent of $1,325, while two-bedroom units start at $2,540. The building's massive lobby has been restored.

Meanwhile, the building's retail space is still in the process of being built out for prospective tenants that will include a number of upscale and trendy restaurants.

Comments? E-mail Orest Mandzy, or call him at (267) 327-4281.



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Additional Info

  • Syndicate to Realpoint: No
  • Cities: Philadelphia
  • States: Pennsylvania
  • Sector: Multifamily
  • Subject: Mortgages/Financing (MOR)
  • Valuation: Between $50 million and $100 million
  • Private: No
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Data Digest

 

CMBS DELINQUENCY VOLUME

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CMBS SPECIAL SERVICING VOLUME

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Top Bookrunners Domestic, Private-Label CMBS - 2017
Investment Bank #Deals Vol$mln MktShr%
Goldman Sachs 17.59 11,819.34 13.68
JPMorgan Securities 14.52 10,968.11 12.70
Citigroup 12.04 10,012.71 11.59
Wells Fargo Securities 14.02 9,936.06 11.50
Deutsche Bank 12.55 9,879.74 11.44

 

RCA CPPI

 

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CMBS 2.0 Spreads

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Top CMBS Loan Contributors - 2017
Lender #Loans Vol$mln MktShr%
Goldman Sachs 146.89 11,719.34 13.63
JPMorgan Chase Bank 117.68 10,114.14 11.76
Deutsche Bank 198.48 9,689.97 11.27
Morgan Stanley 166.18 8,539.78 9.93
Citigroup 199.05 8,088.24 9.41

 

 

 

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