Pembrook Capital closes $5.25 million mezzanine loan for 67-unit Universal Lofts

Pembrook Capital Management LLC has closed $5.25 million in mezzanine financing for Universal Lofts, a 67-unit live/work complex centrally. Pembrook works with real estate developers and investors to deliver financing for new construction, acquisition, and repositioning, focusing on primary and secondary markets with high barriers to entry. Constructed in 2008 under the city's Live/Work Ordinance, Universal Lofts consists of nine four-story buildings containing a total of 112,465 s/f across 67 townhome-style units. Universal Lofts is currently 95% occupied by rental tenants. Pembrook is providing $5.25 million of mezzanine financing to recapitalize the property and to facilitate the sale of units as condominiums. The sponsor plans to sell two-thirds of the units and continue managing the balance as income-producing property. "We continue to tap into the demand for mezzanine financing on a very selective basis," said Stuart Boesky, Pembrook's president and chief executive officer. "This investment in Universal Lofts offers the opportunity to finance a successful project developed by an experienced sponsor within a high-demand, high-barrier submarket of Los Angeles. That's exactly the type of opportunity for which Pembrook is looking."