BETHESDA, Md., July 24, 2024 /PRNewswire/ -- Marc Tropp, a
senior managing director with Eastern Union, has secured
$13,297,000 in financing toward the
ground-up construction of a four-story, 931-unit, self-storage
facility at 80 Barber Avenue in Worcester, MA.
Eastern Union, based in New
York, is one of America's largest providers of commercial
mortgage brokerage and capital markets advisory services. Together
with senior managing director David Merkin, Mr. Tropp oversees the
firm's Mid-Atlantic Region office in Bethesda, MD.
The climate-controlled property will have a gross size of
126,260 square feet and 93,186 square feet of rentable space. The
average unit size will be 100 square feet.
"This construction project had suffered from unacceptable delays
until Eastern Union arrived on the scene," said Mr. Tropp. "By
working quickly and efficiently, we pleased the borrower by
promptly identifying a willing lender for this transaction."
The financing carries a 65-percent loan-to-cost value. The
interest rate over an initial, 36-month construction and lease-up
period will equal 300 bps over SOFR. The borrower will make
interest-only payments during this period.
The original lender, a local bank, had subjected the project to
lengthy delays. The lender waited nine months before finally
advising the borrower that it would be unable to deliver on
financing. Once Mr. Tropp and the Eastern Union team became
involved with the transaction, a deal was closed with a local
community bank within 60 days.
The construction term will be followed by a permanent loan
over an initial five-year term at an interest rate of 300 bps over
the FHLB rate. The rate will then reset to 300 bps above the
then-FHLB rate in year six for a second, five-year term. The
permanent loan will be tied to a 30-year amortization period.
The facility will be operated by CubeSmart, a real estate
company focused on the ownership, operation, acquisition, and
development of self-storage facilities in the United States.
Value-added amenities at the site will include exterior lighting,
security gates, uncovered parking, onsite managers and video
surveillance.
Once a nationally prominent manufacturing region, the greater
Worcester area has transformed
itself into a more diverse economy, with industries such as
biotechnology, advanced manufacturing, information technology,
healthcare and medical research.
About Eastern Union
Founded in 2001, Eastern Union is a national commercial real
estate firm that provides both financing services and capital
markets advisory services. It employs more than 90 real estate
professionals and closes billions of dollars' worth of transactions
annually. Eastern Union leverages its relationships with lenders
and its marketplace knowledge to secure the best available rates
and terms.
The company's Mid-Atlantic Region office, led by Marc Tropp and David Merkin, is located in
Bethesda, MD.
Eastern Union secures financing for transactions of all sizes
across the United States.
Transactions, which can include multi-state and multi-site
portfolios, encompass conventional commercial mortgages, structured
debt, healthcare, hospitality, manufactured home properties,
single-family rentals, investment sales, and -- handled in
conjunction with company affiliate Eastern Equity Advisors --
equity placement.
For more information, visit
www.easternunion.com.
Media contact:
Steve Vitoff
Eastern Union
516 652 0785
380692@email4pr.com
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SOURCE Eastern Union