Silverstein Debt Fund Raises Additional $ 2 Billion for CRE Loans

Bisnow / Miriam Room

Ronald Kaplan of CohnReznick, Michael May of Silverstein Capital Partners, Dino Christoforakis of AFIAA and Zach Murphy of Pender Capital at a Bisnow 2019 event.

The lending arm of Silverstein Properties has closed a new $ 2 billion debt fund that the company says will be used to provide a range of loan types and rescue capital for real estate projects in a range of classifications. ‘assets.

Silverstein Capital Partners has now raised $ 4 billion since its launch in 2018, which it has used to underwrite a range of large-scale development projects in New York and other major U.S. markets.

“Our success is built on our ability to use creative financial structuring, to act quickly, to provide borrowers with a single financial solution, and to lend at scale on the loans we hold,” said SCP Chairman Michael May, in a press release. “Our access to Silverstein’s in-house design, development, construction, leasing and asset management resources allows us to effectively underwrite and bid on complex projects. ”

The new capital injection comes from SCP’s two existing partners, as well as the addition of what the company says are three new global institutional investors. The two original partners of the lender are a sovereign fund and a pension fund which have remained anonymous.

Since its launch, SCP has been involved in several renowned developments across New York City. In 2020, the company extended an A rating of $ 200 million for the Hudson Cos. ‘ A Clinton condo and commercial development in Brooklyn Heights, currently under construction. The previous year, SCP provided a $ 235.6 million mezzanine loan for 9 DeKalb, JDS Development Group’s mixed-use skyscraper in downtown Brooklyn, as well as a senior equity loan from $ 150 million for the massive TSX Broadway mixed-use project in Times Square.

“SCP’s loans reflect Silverstein’s overall business strategy of investing in large-scale, mixed-use projects in growing domestic markets,” Marty Burger, CEO of Silverstein Properties, said in a statement. “SCP has far exceeded our expectations for the Silverstein lending platform. “

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