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| Six-Story, 63-Unit Apartment Building, Central Park North facing Manhattan's Central Park, Manhattan, NY |
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| Gregg Winter |
NEW YORK, NY -- Winter & Company was retained for the
third time in 25 years to advise the ownership of this three-building,
six-story, 63-unit apartment building located on Central Park North facing
Manhattan's Central Park in connection with obtaining permanent, non-recourse
financing.
Winter & Company arranged a 3.75% 10-year fixed-rate,
interest-only mortgage with a balance sheet lender for this long-time client.
Challenges and solutions:
One major challenge is that, on the one hand, the borrower
wanted a $4,750,000 10-year, fixed rate, interest-only mortgage, while on the
other hand, the borrower did not want a balloon loan, and also did not want a
loan structured with a defeasance or yield-maintenance pre-payment penalty --
preferring instead a loan structure with a total term of 25 years which would
amortize (after the initial 10-year i-o period) on a self-liquidating basis.
Winter & Company was able to find a way to accommodate
this request by arranging the loan with a balance sheet lender that could offer
our borrower an additional 15 years of term, on a fully self-liquidating basis,
with the interest rate floating at 250 basis points above LIBOR during the last
15 years of the loan term.
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| Central Park in Manhattan, NY |
The borrower did not want a CMBS execution (with its usual
severe prepayment penalties), preferring instead to transact with a balance
sheet lender.
The solution was a highly-customized non-recourse loan structure
meeting all of the borrower's exacting criteria.
Previously Winter & Company had arranged light rehab
financing shortly after the original acquisition and then a decade later
W&Co arranged a construction loan for a full gut-rehab of the entire
property including 11 units which had been fire-damaged and off-line since the
original acquisition. This resulted in bringing the unit count up from 42 to 63
apartments with considerable rent and NOI growth.
Winter & Company is a Manhattan-based, commercial
mortgage advisory firm that specializes in arranging development and
construction financing (as well as joint venture equity and strategic
partnerships for new developments), multifamily and mixed-use property
financing and arranging cooperative underlying mortgages since 1989.
Its affiliate, W Financial Fund, LP is a direct private
bridge lender providing short-term, special situation financing primarily for
NYC multifamily and mixed-use properties since 2003.
For a complete copy
of the company’s news release, please contact:
Gregg Winter - President
Winter & Company
Creative Minds | Unparalleled Service ®
149 Madison Avenue, Seventh floor
New York, NY 10016
Phone: 212 532-1122 x1
Email: gregg@winterandcompany.com
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