BridgeInvest Closes $35 MM Leasehold Acquisition and Rehab Loan
1st Priority Mortgage Loan
BridgeInvest is excited to announce the recent closing of a $35 million loan for the leasehold acquisition of a boutique office building in the burgeoning SoHo district of Manhattan. The Sponsor plans to renovate and lease-up the approximately 141,000 SF office building to deliver a class A product to tenants entering the recovering office market. BridgeInvest was able to understand the project’s vision and structure a bespoke loan that provided the Sponsor with the necessary capital and evolves overtime as the Sponsor progresses with its business plan.
Although the property was reasonably well occupied at closing, the Sponsor’s business plan provides for the reletting of most of the space at a premium despite COVID’s lingering effects on NYC’s office and retail markets.
The loan financed the acquisition of a newly structured ground lease posing unique risks.
BridgeInvest worked with the Sponsor to structure a bespoke loan that grows with the Sponsor’s business plan by providing the necessary funds to finance the initial acquisition and renovations and including provisions that allow for the loan to be increased during the lease-up stage of the business plan.
Expanding New York Presence
The Loan represents BridgeInvest’s continued expansion in the Tri-State area, with total funding of approximately $100 MM into the region over the past 12 months.