Prime Finance Partners provides $179m on Northstar value-add play

Prime Finance Partners provided a $178.5 million loan to Denver-based Northstar Commercial Partners for the acquisition of a diversified portfolio of 24 properties located in 12 US states.

Prime Finance Partners provided a $178.5 million loan to Denver-based  for the acquisition of a diversified portfolio of 24 properties located in 12 US states. 

The three-year loan carries an 80 percent loan-to-value, according to a statement from Cohen Financial, which arranged the financing.

The portfolio consists of 13 industrial warehouse & manufacturing facilities, eight office buildings, and three retail properties, totaling approximately six million sq ft.

Many of the properties are located in secondary markets with “substantial vacancy.” The opportunity to purchase in bulk will allow Northstar, which specializes in the purchase of distressed assets, to execute a lease up strategy, add value and then sell the units off individually.  

“Having spent more than two years working on the acquisition, Northstar is well positioned to take advantage of the portfolio’s potential,” said Mark Strauss, a managing director with Cohen Financial, who secured the loan with Robert Quarton.

Just a couple of weeks ago Cohen Financial arranged $106m in financing for a San Francisco, California-based multifamily commercial real estate owner and investor, $39.5 million of which was provided by Prime Finance.

That loan refinances a portfolio of four properties that includes three multifamily properties in San Rafael, California consisting of a total of 127 units, plus a 71,720 sq ft, multi-tenant office building in San Francisco.  

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