Exits Investment After Acquiring Debt and Deed for $21.55M in 2012 and Implementing Successful Repositioning Strategy
NEW YORK, June 25, 2015 /PRNewswire/ — Madison Realty Capital (MRC), an institutionally-backed real estate investment firm focused on real estate equity and debt investments in the middle markets, announced the $37.4 million sale of 385 Union Avenue located in the Williamsburg neighborhood of Brooklyn, New York. The 6-story property has 47 residential apartments comprising approximately 40,000 rentable square feet. Josh Zegen, Co-Founder and Managing Principal of MRC, made the announcement.
The property was originally in foreclosure and under management of a receiver. MRC was able to negotiate the acquisition of the debt with the previous lender, the release of all existing subordinate liens and the transfer of the deed from the existing owner for $21.55 million in May 2012. After taking title to the property, MRC was able to obtain a final certificate of occupancy, re-instate prior tax abatements and renovate the property to a Class A standard. The property was then sold by MRC through an off-market transaction facilitated by Aaron Jungreis of Rosewood Realty Group, who represented both parties.
"We're particularly proud to exit this investment, which exemplifies the benefits of our vertically integrated structure," said Josh Zegen, Co-Founder and Managing Principal of MRC. "We entered the deal through a distressed acquisition in 2012 and were able to implement an effective strategy which stabilized the asset and maximized value for all parties."
About Madison Realty Capital (MRC)
MRC is a New York-based real estate investment firm that pursues real estate equity and debt investments in the middle market. Founded in 2004, MRC has invested in approximately $3 billion of transactions in the multifamily, retail, office, industrial and hotel sectors.
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