Llenrock Realty Partners will offer bridge debt capital in the $3-million to $30-million range to developers in North American and the Caribbean. All asset types can be underwriting from the platform. Structures include interest only, interest reserve, flexible pre-pay, and terms from six to 36 months.
Joseph Cacciapaglia, director of investments at Llenrock, will be heading the initiative. He has worked as a financial analyst for both United Dominion Realty Trust and Brandywine Realty Trust, and as an associate at BlueStone Real Estate Capital.
The fund is partially capitalized by a partner company, whom Andrew Benioff, founder and senior managing partner of Llenrock Group, declines to name. However, he tells GlobeSt.com that the firm expects to provide $100 million in bridge financing this year "and if we want to do more we could, quite comfortably." While the platform's sweet spot is between $3 million to $30 million, beyond that number, he adds, debt would probably become too expensive for the firm to provide competitively. However Benioff says there is plenty of business to be done in this ballpark. Officially introduced on Tuesday, the platform is already receiving inquires and requests, he says.
The introduction of the bridge debt platform rounds out Llenrock's services, Benioff notes. The firm came out of the gate offering structured finance and brokerage services. "We now offer a full spectrum of capital products to developers."
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Erika Morphy
Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.
