Eastern Union Funding arranged a $28.8 million acquisition loan on behalf of Brooklyn-based investment company PF Holdings LLC for its purchase of the Hallmark House in Newark.
Eastern Union’s David Metzger and Nate Hyman originated and arranged a fixed-rate non-recourse, 10-year loan with a competitive rate of 3 and a quarter. The financing covered 80 percent of the purchase price.
Hallmark House is a 20 story, 429-unit luxury apartment complex, with an additional commercial space, located at 10 Hill Street near City Hall. With thousands of units planned for development, Newark is gearing up to absorb new residents. The development raises expectations of a vibrant night life and a Hobokenesque appeal – one that replaces an outdated, grittier image.
This property is a prime example of the changing landscape, and positioned to benefit from the activity, Hyman said.
“It’s a prime location, there’s a lot of upside on the commercial unit and we were able to get a great deal structured,” Hyman said. “We have close relationships with local banks that are noticing the redevelopment and will compete on leverage and rate in Newark,” he added.