NEW YORK CITY—Pembrook Capital Management has executed the closing of a $20 million first mortgage loan for the purchase of 468 Columbus Ave., a property on the Upper West Side of Manhattan.

The property is currently a three story, 15,000 square-foot vacant retail asset, with the potential for constructing residential apartments. The borrower plans to lease the current three floors to a retail tenant and then redevelop the property for residential use by adding five additional floors of apartments. Upon completion, the new property is expected to be eight stories with 31,000 square feet of total rentable area.

“Our reputation as an experienced lender helped us source and close this opportunity,” said Pembrook's Terence Baydala, managing director, originations. “We continue to identify what we believe to be quality deals with experienced sponsors. In addition to what is a prime location in Manhattan a block away from Central Park and the Museum of Natural History, the borrower's business plan to add an extensive residential component to the property should create long-term value and we look forward to seeing the final construction.”