SANTA MONICA, CA-Those who follow @GlobeStcom on Twitter may have seen a post teasing the announcement yesterday, but GlobeSt.com has exclusively learned that New York City-based fund manager, Hudson Realty Capital LLC, has funded a $4.36-million bridge loan involving a 14,612-square-foot office building in the downtown district. The borrower, a prominent local real estate developer and multifamily operator, is utilizing the loan proceeds to purchase the property and implement the business plan, which includes reinstating the original residential zoning.
Constructed in 1990 as a multifamily building, the four-story complex was converted to office use in 1996 when values were rising. The property is one block from the Interstate 10 access ramp, four blocks from the Third Street Promenade and Santa Monica Place Mall and seven blocks from the beach and Santa Monica Pier.
Each of the building’s office suites features high ceilings and large outdoor areas, both of which are highly sought after by tenants. “Hudson was able to close with speed, surety of execution and prepayment flexibility that is not available from conventional debt sources,” explains Spencer Garfield, managing director. “In addition, Hudson was able to offer higher loan proceeds as a result of quickly ‘boxing’ the entitlement risk associated with the transaction.”
Since the inception of its initial two funds in 2003, Hudson has closed more than $3.5 billion in transactions while focusing on middle-market investments, generally in the $3 million to $35 million per asset range. Activities include originating, purchasing, participating in, servicing and restructuring special-situation debt. In addition, the company is active in large loan-portfolio acquisitions and asset management activities. Hudson also invests directly in real estate and acquires under-performing assets and other real estate-related instruments.
Hudson could not disclose any further information to GlobeSt.com at this time regarding the specific address of the property or the borrower’s identity.
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Natalie Dolce
Natalie Dolce, editor-in-chief of GlobeSt.com and GlobeSt. Real Estate Forum, is responsible for working with editorial staff, freelancers and senior management to help plan the overarching vision that encompasses GlobeSt.com, including short-term and long-term goals for the website, how content integrates through the company’s other product lines and the overall quality of content. Previously she served as national executive editor and editor of the West Coast region for GlobeSt.com and Real Estate Forum, and was responsible for coverage of news and information pertaining to that vital real estate region. Prior to moving out to the Southern California office, she was Northeast bureau chief, covering New York City for GlobeSt.com. Her background includes a stint at InStyle Magazine, and as managing editor with New York Press, an alternative weekly New York City paper. In her career, she has also covered a variety of beats for M magazine, Arthur Frommer's Budget Travel, FashionLedge.com, and Co-Ed magazine. Dolce has also freelanced for a number of publications, including MSNBC.com and Museums New York magazine.
