2002 Transactions
Tremont Arranges $19,500,000
Financing for Revere Luxury Apartments
Tremont
Realty Capital, Inc. arranged the refinancing of Water's
Edge Towers, a 306 unit luxury residential property located
on the beach in Revere, MA, just outside Boston.
Steve Henderson, Senior Director with Tremont's
Hartford office arranged the $19,500,000 loan, which was
funded through a national bank. The 2-year loan provided
for about 75% loan to value and consisted of an "A"
piece in the amount of $17,500,000 and a "B" piece
in the amount of $2,000,000. The high-end property had recently
emerged from a 3-year bankruptcy after failing to achieve
the necessary rents to support its $30,000,000 development
cost. At the time of closing, the property was approximately
83% occupied. According to Henderson, "The history
of the property and its recent emergence from bankruptcy
made financing an uphill battle for the borrowers, so they
looked to Tremont Realty Capital in order to utilize our
close ties to the capital markets. We were able to tell
the story that included new management, an aggressive lease-up
plan, a significant reduction in expenses moving forward,
and the ability of the sponsors to execute the business
plan. In the end, the transaction closed about 60 days from
the time the bankruptcy court approved the transfer of the
property to our client. Everyone involved was pleased with
not only the result, but the process too."
For additional information on this transaction,
please contact:
Stephen Henderson
Senior Director
Email: shenderson@tremontcapital.com
Phone: 860.548.9289
