Pearlmark Closes on Duffey 2.0

Chicago, IL (July 15, 2022) – Pearlmark announced that it closed on a $12.0 million mezzanine debt investment for Duffey 2.0, an adaptive reuse project consisting of three historic manufacturing buildings in the Warehouse District of Minneapolis, Minnesota. The project will consist of 358 multifamily units, 41,000 sq. ft. of retail space including Puttshack, and 326 parking stalls.

The investment was made on behalf of Pearlmark Mezzanine Realty Partners V, L.P. (“Mezz V”). The senior loan was provided by ULLICO. Cedar Street Companies is the sponsor/borrower. Patrick Minea and Dan Trebil at NorthMarq represented Cedar Street in the capitalization.

Mark Witt, Managing Director of Pearlmark, arranged the transaction for Pearlmark. Mr. Witt commented, “We are excited about financing this project that will include best-in-class amenities in a very desirable location in the North Loop of Minneapolis.”

Doug Lyons, Managing Principal and Head of Debt Investments for Pearlmark, further commented, “We have been closely following Cedar Street’s outstanding development of high-quality market rate affordable apartment assets in Chicago over many years and are thrilled to be financing their second project in arguably Minneapolis’ most dynamic emerging neighborhood.”

Pearlmark is a Chicago-based investment firm that targets domestic core to value-add real estate opportunities via commingled funds, separate accounts, and joint venture structures. Since 1996, Pearlmark has sponsored more than a dozen real estate equity and debt investment programs and completed 562 real estate equity and debt transactions on behalf of investors, representing $5.3 billion in equity capital commitments and over $13.7 billion in gross investment value. Pearlmark is dedicated to creating value for its investors and offers a range of investment opportunities nationwide across various property types (office, industrial, multifamily). For more information, please visit https://www.pearlmark.com.