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Procida Funding’s $18.5M construction loan finalizes 122-unit micro-apartment building in NJ


JERSEY CITY, NJ — New Jersey-based commercial real estate lender Procida Funding, LLC announced the recent payoff of an $18.5 million construction loan. Provided to Strategic Properties, LLC on June 7, 2019, loan proceeds were utilized for the development of the “Nest Micro-Apartments,” a 122-unit micro-apartment building in the Journal Square Section of Jersey City. Thanks to a great sponsorship team and March Associates Construction, Inc., the project was completed and is currently being leased.

Nest Micro-Apartments is a 43,310-gross s/f class A multifamily building with one ground-floor retail unit. The 122-unit micro-apartment building was constructed atop a 9,294 s/f vacant land parcel at 184-190 Academy St. in Jersey City.

“When this deal initially came in, it had been heavily shopped in the marketplace with little success. The sponsors had a relatively small track record and originally chose the wrong GC for the job; not to mention that this property was the first of its asset class in the area. However, with our local presence and expertise, we were able to mitigate those risks in order to perform seamlessly for the sponsor,” said vice president of Procida Funding Brian Foley. “This is a product I think we will be seeing much more of,” noted vice president of Procida Funding Derek Weissman. “This is a perfect example of how we can help our clients throughout the development process. We worked with the sponsorship team to replace their GC with March Construction and proceeded to provide aid throughout the life of the project to ensure its success. Our team was on site multiple times a week. We are thrilled to be part of such a transformative project.”

The building is now open for leasing with tenants beginning to occupy its units. Apartments start at $1,395 and will be managed by Common. Flip Sigi “The Original Filipino Taqueria” will be moving in this fall as they continue to expand their footprint throughout North Jersey.

Procida Funding, established in 1995, provides capital for a wide range of asset classes in the eastern region of the US, with a concentration in the New York metropolitan area. The firm uses both its own capital and that of its strategic partners, which includes private equity funds and institutional lenders. The firm’s experience as a borrower and developer provides them with keen insight into how to be a creative and responsible lender and investor. The firm was named “Best Non-bank Lender in America” by REFI Magazine.


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