8-20-21

6A — August 20 - September 16, 2021 — Financial Digest — M id A tlantic Real Estate Journal

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F inancial D igest

PrestonHollowCapital completes financing for The Highlander

Funding will support construction of 158 units in DC EagleBank provides construction financing for apartment complex

B ETHESDA, MD — Ea- gleBank , one of the larg- est community banks in the Washington, DC area, an - nounced that it provided financ - ing to support the construction of a luxury apartment complex in Northwest Washington, DC’s 16th Street Historic District. The project is a joint venture led by Perseus TDC and equity partner Allstate Insurance Company . EagleBank’s loan offering will fund a significant portion of total project costs, allow- ing Perseus TDC to construct a five-story, 158-unit luxury apartment building with an underground parking garage for both residents and Scottish Rite Temple patrons. The transac- tion was facilitated by members of EagleBank’s experienced commercial real estate team, senior vice president Barb Mackin , portfolio manager Sameera Rizvi and portfolio administrator Jeniffer Mejia . “As a trusted community lend- er, EagleBank is committed to delivering tailor-made solutions for our clients across sectors and markets,” said Ryan Riel , EVP, chief real estate lending officer. “We’re excited to have been in- volved in such a unique project

The Highlander

A spokesperson for Trinity Street Capital Partners in - dicated that its non-recourse construction lending program has gained considerable trac- tion in the last several months, as traditional banks still have Covid concerns or are over ex- posed to certain property types. Trinity is now winning major deals across the country as the firm marries its non-recourse construction lending programs with both its bridge and per- manent finance programs. TSCP’s permanent program is now originating loans with rates starting at the 10 year US Treasury + 100bps. MAREJ Provident Resources Group serves as the not-for-profit owner of The Highlander. SB Ballard, Inc. is the general contractor, with Blur Group serving as the architect. The Highlander will be managed by Aimbridge Hospitality . “As financing solution pro - vider for The Highlander, Preston Hollow Capital was committed to advance the so- cial and community benefits of the project, and we appreciate the opportunity to work with Radford University, its foun - dation, and the other valued partners involved with the project,” added Preston Hollow Capital chairman and CEO Jim Thompson . MAREJ low worked hand in hand with Radford University and the Radford University Founda - tion to execute the financing. Radford University Foun - dation CEO John Cox said, “Breaking ground for The Highlander is a thrilling day for the Radford University Foundation. The vision for the hotel has been a focus for the University and Foundation since 2019, and the support from Preston Hollow Capital has been an essential part of this project. The Foundation is excited for The Highlander and the positive impact it will bring locally, regionally and beyond.”

NEW YORK, NY — Trin- ity Street Capital Partners (TSCP) , a full service real es- tate investment bank, expands its construction lending pro- gram for its commercial mort- gage platform. Experienced owners and investors will now have access to non-recourse construction loans, up to 85% of cost for multifamily, indus- trial and self storage properties and up to 75% of cost for office and anchored retail properties. The program will focus on the top 200 MSAs in the United States and will have interest rates starting at 30 day Libor + 2.50%. Preston Hollow’s invest- ment consists of a $34 mil- lion Sustainability Bond – a designation which allows investors to invest directly in obligations that finance socially beneficial and sustain - able projects. Sustainability Bonds were adopted based upon sustainability frame- work guidance from the Inter- national Capital Markets Association and the United Nations Sustainable Devel- opment Goals . Preston Hol- RADFORD, VA — Pres- ton Hollow Capital , an independent specialty mu- nicipal finance company that supports local communities through creative, flexible and dependable infrastructure fi - nancing, today announced the successful execution of a $34 million financing to fund con - struction of The Highlander, a 124-room upper-upscale hotel that helps further Rad- ford University’s academic mission with the advent of its Hospitality Program. The Highlander also provides much-needed amenity to the University and the surround - ing community and features a rooftop restaurant and a 4,000 s/f conference space, provid- ing the University the ability to attract and host business conferences, expos, and Uni - versity events.

Perseus TDC

at the heart of one of D.C.’s most sought-after neighborhoods.” Elevated by its proximity to several amenity hubs, the proj- ect site is conveniently situated in a quiet, upscale neighbor- hood and is walkable to both the Dupont Circle and U Street metro rail stations. The prop- erty’s amenities will include 24/7 concierge services, coffee bar, fitness facility, rooftop pool and lounge with a commercial kitchen, multipurpose room and private courtyard garden. “The 16th Street Historic Dis - trict is a high-demand market for DC’s young professionals upgrades. An experienced real estate investor approached Green- Lake to refinance a portfolio of distressed gas stations due to an absentee tenant and complicated title issues. The borrower was in default with their existing lender and the bank had already foreclosed on one location. GreenLake provided funds enabling the borrower to re-acquire that key location, as well as to refinance and move away from a chal- lenging lender relationship. Additionally, the funds will allow the borrower to re-brand dent living units, 100 assisted living units, a 69-bed skilled nursing center and amenities. Springhill has 158 indepen - dent living and 35 personal care units, plus an 80-bed skilled nursing facility. The loans refinance bonds from 2012 and include a $20.4 million bank loan and tax- exempt, fixed-rate bonds total -

given the access to public trans- portation and popular ameni- ties,” said Adam Peters , re- gional partner of Perseus TDC. “Alongside our equity partner, Allstate Insurance Company, we’re looking forward to deliv- ering a best-in-class multifam- ily development that addresses the ongoing need for residential projects in the area.” The proposed residential de- velopment will offer various apartment layouts, including a unique mix of studios, one and two bedrooms, and townhouse- style duplexes with direct street access. MAREJ with a major international brand, and rehabilitate and upgrade the properties. Peter Chang , managing principal at GreenLake said, “While distressed properties pose complex challenges that lenders often shy away from, special situations are what GreenLake excels at. Our un- derwriting hinges on the un- derlying real estate asset and the sponsor’s ability to execute. Our view across multiple sec- tors gives us the insight, expe- rience and resources necessary to navigate and execute on these types of loans.” MAREJ ing $27.2 million. The bank loan utilized the Cinderella Bond structure, with initial issuance on a taxable basis until eligible for conversion to a tax-exempt rate in October 2021. The financing is projected to generate more than $400,000 of annual debt service savings through 2041. MAREJ

GreenLake funds $14,275,000 for portfolio of 8 Gas stations located in New Jersey and Pennsylvania

PHILADELPHIA, PA — Los Angeles based GreenLake Asset Management LLC

( G r e e n - Lake ) an - nounc ed i t has closed a $14,275,000 loan on eight gas stations l o c a t e d i n New Jersey and Pennsyl-

Trinity Street Capital Ptrs. expands non-recourse lending program

Peter Chang

vania. GreenLake’s funding allows the borrower to re- acquire a key location lost to foreclosure and will facilitate a major re-brand and significant

HJ Sims arranges $47.6 Million financing for two seniors housing properties in Pennsylvania

ERIE and MECHANIC- SBURG, PA — HJ Sims has arranged $47.6 million in financing for Asbury Com- munities Inc. The loans support two life plan communities —Bethany Village Retirement Center in Mechanicsburg and Springhill in Erie. Bethany includes two campuses with 400 indepen-

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