Ariel Property Advisors secures three loans for condominium construction projects totaling more than $17 million

Brooklyn, NY The Capital Services Group of Ariel Property Advisors (Ariel) has closed three loans from private lenders totaling over $17 million to finance condominium construction projects in Brooklyn and Queens.

An Ariel team led by Matthew Dzbanek, senior director, and Nicholas Campoli, director, arranged the loans on behalf of the developers. 

The loans included:

• A $6.85 million non-recourse condo construction loan at 75% LTC to finance a 10,000 buildable s/f development with eight units in Long Island City.

• A $5.5 million two-year, full-term interest only, non-recourse loan to finance a 24-unit condo conversion in Richmond Hills (shown). The terms included a rate of SOFR+5.25% and 75% LTC.

• A $4.7 million condo construction loan to finance a 7,800 buildable s/f development with four units in Williamsburg.

“Condo construction is on fire in New York City right now, especially for projects producing affordable units,” Dzbanek said. “We’ve been running a very competitive process for condo conversion developments, ultimately delivering over 10 viable quotes for clients to consider.”

In addition to the construction loans, the Capital Services Group recently arranged an $11.8 million condominium inventory loan for a 20-unit newly constructed residential condo project in Upper Manhattan. The 9.5% interest-only loan featured an 18-month term at 70% LTC. The loan allowed the borrower to cash out at 20% above the bank construction loan, unlock funds, and secure additional proceeds and reserves to complete the condo development, providing an 18-month runway to bring units to market and manage the sellout process with greater control.