Progress Capital said June 3 it secured a $35,250,000 loan for ERCT Capital Group to refinance a 203,000-square-foot, Class-A medical office facility located at 1255 Broad St. in Clifton.
Brad Domenico of Progress Capital worked with Jared Zimmel of Natixis Real Estate Capital, who provided a full term, interest-only commercial loan on a non-recourse basis.
In 2018, the sponsor purchased the property which contained a large vacant space at the time of purchase. However, through his established relationships, he was able to bring in Summit Medical Group to sign a long-term lease and occupy all of the vacant space at the property. Which in turn, provided it with a significant asset.
1255 Broad St., Clifton. – PROGRESS CAPITAL
The borrower will use the loan proceeds to refinance the current debt on the property and recapture value-add costs incurred such as lease commissions and tenant fit-out for Summit Medical Group. The balance of recaptured equity will be utilized to further improve the property, as well as fuel the expansion of the borrower’s real estate portfolio.
The property is comprised of a two-story medical/office building occupied by a diverse mix of medical and office tenants including Summit Medical Group, AECOM and SSB Realty. On-site amenities include a fitness center, a full-service cafeteria and common conference room. Additionally, the tenants have access to an executive garage with 17 parking spaces and a surface level parking lot with 172 spaces.
