Chicago, IL (August 15, 2019) – Pearlmark today announced it has closed on a $44.65 million preferred equity investment for the development of Atlantic Crossing, located in Delray Beach, Florida. The project will contain 261 luxury apartment units, 91,000 square feet of commercial office and retail space, as well as 444 structured parking spaces. The developer is the Edwards Companies of Columbus, Ohio. The investment was originated by Pearlmark and made on behalf of Pearlmark Mezzanine Realty Partners IV, L.P. (“Mezz IV”) and an institutional co-investment partner. A senior construction loan was provided by Fifth Third Bank, Huntington Bank and Santander Bank. Bellwether Enterprise represented the borrower in securing the preferred equity investment.
Mark Witt, Managing Director of Pearlmark, arranged the transaction. Mr. Witt commented, “We view this project as an opportunity to invest in a high-quality development located in the heart of vibrant downtown Delray Beach. Additionally, Edwards is a very strong sponsor with significant development experience.”
Doug Lyons, Managing Principal and Head of Debt Investments for Pearlmark, further commented, “Edwards’ outstanding track record for best-in-class development and the superior location of the multi-use project are defining characteristics of this investment.”
Mezz IV is the firm’s exclusive mezzanine investment vehicle, meeting borrower demand for mezzanine debt solutions on refinancings, recapitalizations, acquisitions, and selective development projects. Mezz IV is targeting a broad range of domestic commercial real estate assets and is flexible to accommodate stabilized cash flow, bridge/transition, and construction/development business plans.
Pearlmark is a Chicago-based investment firm that targets domestic core and value-add real estate opportunities via commingled funds, separate accounts and joint venture arrangements. Since inception in 1996, Pearlmark has sponsored more than a dozen investment programs for institutional and high net worth investors and completed 544 real estate equity and debt transactions representing in excess of $13.4 billion in gross investment value. Pearlmark is dedicated to creating value for investors and offers a range of investment opportunities across the various property types (office, industrial, multifamily) in both local and national markets. For more information, please visit https://www.pearlmark.com.