DEBT Hudson Realty Capital originates bridge and mezzanine financings across the United States as well as in select international markets. These loans are secured by a variety of property types, including condominium conversions, single-family development, office, industrial, multi-family and self-storage properties, and offer borrowers surety of execution along with an expeditious due diligence and closing process. Hudson also purchases whole loans, b notes, mezzanine loans and other subordinate positions.
Hudson typically targets borrowers who have specific knowledge of the local market and/or asset type. Borrowers have utilized Hudson's proceeds for acquisitions, pre-development, infrastructure development, construction/renovations and strategic recapitalizations. Over the past several years, Hudson has originated over $268 million in bridge and mezzanine financings.
Complex real estate transactions often require committed capital along with speed and certainty. Hudson understands this and will invest anywhere in the capital structure, from first mortgage to direct equity, depending on the client's needs. Hudson is comfortable evaluating each senior and mezzanine loan quickly while providing borrowers with certainty of closing.
Mezzanine Condominiums Under Construction, Mount Vernon, NY
In June 2007, Hudson closed a mezzanine loan collateralized by the Sponsor’s equity interest in a condominium building under construction in Mount Vernon, NY. The project was approximately 45.0% complete at the time of funding, and a construction loan was in place. The development plan calls for the construction of 71 condo units, with self-storage space and parking to be leased to residents of the building. The loan is to be repaid through unit sales.
First Mortgage Commercial Land, Philadelphia, PA
In November 2006, Hudson closed a first mortgage loan collateralized by a 2.1-acre parcel of land in downtown Philadelphia, previously used as a parking lot. The proceeds of the loan were used to retire existing debt, fund pre-development costs and purchase the interest of an existing equity partner. The development plan is for construction of a 43-story mixed-use structure consisting of a total of 1.0 million square feet of retail, hospitality, residential and parking. Leases for all 137,593 square feet of retail space were signed with Whole Foods, Best Buy, EMS and Office Max. The loan is to be repaid with a construction loan.
