SKW Funding capitalized a $12 million preferred equity position into Simon Baron Development’s $24 million acquisition of 12 Franklin Street in Greenpoint, Brooklyn.
Daniel Wrublin, one of the principals of SKW Funding and co-founder of Dalan Management, noted “Our committee moved swiftly to approve and fund $12 million in less than 30 days. We were motivated by the quality of sponsor and significant upside in the asset.”
“We are pleased with SKW Funding’s expeditious execution and closing in such a tight timeframe” said Matthew Baron, a principal and co-founder of Simon Baron Development.
The execution was led by Menelik Tefera, an originator at SKW Funding, a Manhattan based commercial real estate lender that provides services “for every form of lending conceivable,ˮ including first lien, mezzanine and note financing, in every category of commercial real estate.
The principals of SKW Funding have a collective experience of over 100 years in the commercial real estate industry, including the facilitation of billions of dollars in transactions in mortgage origination as well as the management of more than 60 buildings in Manhattan, Brooklyn, Queens, the Bronx and Phoenix, Arizona.
“We had some experience buying non-performing bank loans back in 2008, 2009 and 2010,” added Wrublin. “We see an opportunity for bridge lending on equity side.”
So far, Wrublin said SKW Funding has issued about $50 million in preferred equity and mezzanine debt, with the goal of doubling that number in the comimg year.
Simon Baron development purchased 12 Franklin Street for $24 million.
While current zoning woulf allow the developer to build an office or retail property upto 55,500 square feet, it had not yet announced its plans for the site.
