M id A tlantic Real Estate Journal — Lenders Directory — November 2024 — 5
www.marej.com
L enders D irectory Interview with James Meicke, Vice President/Client Manager Spencer Savings Bank delivers tailored construction financing solutions rea of Interest: Construction Fi- nancing.
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James Meicke Vice President/ Client Manager Spencer Savings Bank
Who is your target market? Northern New Jersey Real Estate Developers specializ- ing in Multi-Family, Mixed- Use and For-Sale Town- homes projects. What is your most note- worthy transaction or project this year? 1. Construction to Perm Loan for $25,000,000 Bel- leville, NJ to construct Multi- Family Apartment Building. 2. Construction Loan for $14,781,500 Paramus, NJ to construct For-Sale Multi- Family Townhome Complex. 3. Construction to Perm Loan for $5,660,000 Passaic, NJ to construct Mixed-Use Building Apartment/Retail NEW YORK, NY — Equi- tyMultiple , an investment platform that connects indi- vidual accredited investors with institutional-quality real estate opportunities, shares insights on the multifamily sec- tor. Amid rising interest rates and a recalibration of property values and housing remaining at historic highs, the asset class presents a strategically attractive opportunity. Resilience and Opportunity in Multifamily Real Estate Multifamily properties, or rental residential opportuni- ties, present a compelling investment in a moment when markets are in flux. Following a period marked by new sup- ply and economic uncertainty, multifamily fundamentals are stabilizing and prices are being rationalized. Equity- Multiple’s proprietary mar- ket research anticipates rent growth, albeit at more normal- ized rates, as supply pressures ease and household formation, bolstered by a strong labor market, supports demand. “While some metropolitan areas may experience further adjustments, constrained markets are expected to outperform due to pent-up demand and lack of hous- ing options,” said Marious Sjulsen , chief investment officer at EquityMultiple. “Our extensive market reach allows us to identify these high-potential areas and offer well-vetted opportunities to our investors.”
Headquarters: Elmwood Park, NJ # of Commercial RE specialist: 25 Years with company/firm: 5 Years in field: 30+
Lack of housing affordability and the densely populated Northern NJ market trans- late to strong demand for new units, both for-sale townhomes and brand new construction rental apartment units. Spen- cer Savings Bank lends on local ground-up construction projects as small as 10 units fer a potential ‘buy the dip’ scenario. However, timing and selectivity are key. We advocate for a blend of equity and private credit positions to maximize portfolio resil- ience,” adds Sjulsen. EquityMultiple’s cur- rent offerings include two multifamily deals in New York City: an LP equity in- vestment opportunity in a Mixed-Use Portfolio in Up- per Manhattan, including 59 multifamily units and 9,200 s/f of retail; and an Inven- tory Senior Loan for condo development on East 22nd St., which offers EquityMul- tiple’s investors a 12% net, fixed annual rate of return. EquityMultiple’s Ascent In- come Fund brings investors a diversified real estate private credit investment vehicle, targeting compelling annual yield, with a high degree of focus on multifamily assets. About EquityMultiple EquityMultiple is a lead- ing real estate investment management firm, leveraging technology to democratize access to institutional-grade commercial real estate invest- ments. Through its extensive network, proprietary insights, and strategic collaborations, the platform connects inves- tors to diverse opportunities across top-performing U.S. markets. Since its inception, EquityMultiple has paid over $475M in distributions to thousands of self-directed investors nationwide. MAREJ
and larger than 100 units. What separates you from the competition? Local decision making and timely execution of approvals. Name some of your most unique qualities/reasons why someone should do business with your financial institution?
Construction is difficult! Working with Spencer Sav- ings Bank, developers re- ceive the attention to detail required. Spencer seeks to provide construction loans as construction-to-perm loans, providing the Devel- oper peace of mind that the takeout is in place. MAREJ
Where do you think your largest growth area is and why?
EquityMultiple’s optimistic outlook on multifamily sector Navigating the Post-Election Policy Environment
S3 announces $48M construction loan for luxury condo development
As the US adjusts to the outcomes of recent elections, multifamily investments are poised to be influenced by a new wave of policy decisions. Proposals around housing initiatives, tax reform, and fiscal stimulus could shape the sector’s trajectory. While EquityMultiple refrains from speculating on specific poli - cies, it acknowledges the potential for significant im - pacts on investor strategy and market liquidity. “Policy shifts could either strengthen multifamily de- mand through housing incen- tives or introduce regulatory complexities that investors must navigate. Our invest- ment team is prepared for both outcomes, ensuring that our platform and deal flow remain agile and responsive,” said Charles Clinton , CEO and co-founder of EquityMultiple. Positioning for Growth EquityMultiple’s approach, built on rigorous data analy- sis and strategic partner- ships, such as with Marcus & Millichap, positions it to harness diverse multifamily opportunities irrespective of the policy and economic land- scape. The firm continues to source deals that align with its dual focus on risk-adjusted returns and diversification. “With significant CRE loan maturities and market recalibrations underway, multifamily investments of-
1214 Ocean Parkway
BROOKLYN, NY — S3 announced the origination of a $48 million construction loan for the development of a luxury 27-unit residential condominium building at 1214 Ocean Parkway in the thriving Midwood neighbor- hood of Brooklyn. This new project is set to offer high- end living with a full suite of amenities and private out- door spaces for the majority of units, catering to the de- mands of modern city living. The Midwood neighborhood, home to over 50,000 residents, is known for its wealth, stabil- ity, and suburban feel within the heart of Brooklyn. With a blend of historic charm and convenient access to Manhat- tan, it has become an attrac- tive destination for families and professionals alike. The project is spearheaded by Lay Assets , a develop-
ment and construction firm with deep experience in the Brooklyn market. As of mid-September, the sponsorship has made sig- nificant progress in the de- velopment, having already acquired the land, completed the pre-development pro- cess, and constructed most of the superstructure. With its prime location in Midwood, the project is set to deliver a collection of highly amenitized luxury residences, offering a desirable lifestyle for Brook- lyn’s growing population. “We are thrilled to finance our second condo project in this area. Building off the suc- cess of our first luxury resi - dential loan in Midwood, Opal Residences, we are delighted to expand our footprint in this vibrant neighborhood,” said Shawn Safdie , head of originations at S3. MAREJ
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