Outside the Region: Cronheim Mortgage completes $26.175 million financing for NJ portfolios

Saddle Brook, NJ Cronheim Mortgage arranged $6.2 million in financing for an industrial portfolio located Bergen County. The financings were structured on a 10/30 basis with a 3.44% interest rate and placed with The State Life Insurance Co., whom Cronheim represents as correspondent and servicing agent. 141 North 5th St. is a 100,000 s/f, single-story industrial building constructed in 1975. The remainder of the financing was secured by a portfolio of three adjacent industrial buildings located at 101, 301, and 501 Cottontail Ln. in Somerset County, Franklin Township. The properties encompass 100,000 s/f, 116,480 s/f, and 105,000 s/f, respectively. The loan was originated and placed by Dev Morris, Andrew Tsukamoto, and Andrew Stewart.

Cronheim Mortgage also secured refinancing proceeds of $19.975 million for a renovated 174,746 s/f five-story class A office building in Bergen County. 

The transaction was not without its challenges. An unsubordinated ground lease, near term tenant roll and tenancy concentration required structuring, negotiation and compromise. Ultimately Cronheim obtained a non-recourse, 10/30 with proceeds above what the client had initially anticipated when they entered the debt market.