Beverly Hills-based BridgeCore Capital has funded a $16.5 million loan on two contiguous mixed-use buildings in Greenwich Village.
Davean Holdings, an investment firm founded in 2017 by David Lloyd and Sean Lefkovits, acquired the two seven-story properties for $22.25 million last month.
James Nelson and his team at Avison Young brokered the sale of 103-105 MacDougal Street on behalf of seller, Wilma Gelfand.
The borrower required a non-recourse bridge loan to purchase the buildings. The apartments are 53 percent vacant, and the retail space is 100 percentvacant.
BridgeCore’s 24-month term, including two six-month extension options, is providing the borrower the necessary time to make renovations, including a re-balancing between market-rate and rent-stabilized units, and to position the property for an exit with conventional financing, once stabilized.
“BridgeCore’s competitively structured loan terms allowed our client to quickly execute on the purchase of a transitional asset at a time when conventional financing has not been readily available because of the COVID-19 economic environment,” Elliot Shirwo, BridgeCore founder and principal, said.
Loan terms include three months of prepaid interest; an interest rate of 7.65% for the first 12 months and a floating rate at Prime + 4.40%, with a floor of 7.65%, for the second 12 months; and collection of monthly escrows from the borrower for interest, taxes and insurance.