2005 Transactions
Tremont Advises on $22,000,000
Condo Conversion
The
Boston office of Tremont Realty Capital structured the capitalization
for the acquisition and conversion of the Charles Daniels
apartments to condominiums. The property is a 104-unit complex
located in Malden, MA. Amenities include a fitness center,
pool and on-site business center.
Dennis Walsh, a Senior Director with Tremont,
advised the sponsor on the $22,000,000 senior/mezzanine
capital raise. The investment included a $19,500,000 senior
loan funded through a local bank and a $3,500,000 mezzanine
loan funded by a private investment firm. The combined capital
provided for approximately 98% of the acquisition of the
asset plus associated costs to convert to condominiums.
The property was 95% occupied at the time of closing. According
to Walsh, "the challenges in this transaction were
that it was high leverage and subject to significant time
constraints. Tremont's experience in conversion financing,
as well as, knowledge of the local market, enabled both
capital sources to become quickly comfortable with the deal.
The conversion project reflected middle market housing prices,
a manageable absorption, and strong sponsorship."
For additional information on this transaction,
please contact:
Dennis Walsh
Senior Director
Email: dwalsh@tremontcapital.com
Phone: 617.867.0700 x782
