Sanford Herrick
To further create opportunities for property owners and developers, Case Real Estate Capital, LLC (Case) will now originate lower-interest loans in the $2 million to $8 million range for properties nearing stabilization. Since its founding in 2013, Case has steadily expanded its platform and services and has surpassed the $125 million mark in investments.
“As banks continue to pullback in terms of lending on commercial real estate, private lenders like Case are providing a needed infusion of turnaround capital for a multitude of projects,” said Sanford Herrick, founder and managing principal of Case. “We have some of the best rates available in the market today for our ‘bridge light’ program aimed at properties nearing stabilization.”
Case’s new small loan program covers all asset types, including office, retail, industrial, manufacturing, hospitality,self-storage and selected entitled land. Typically, these loans will have an initial term of one to two years with extension options of up to two years.
“We do everything in-house from approvals to servicing and have the expertise to get to a ‘yes’ quickly,” Herrick said. During the course of his 30+-year career, Herrick has orchestrated investments in more than $5 billion worth of commercial real estate.
Case is introducing another new program that finances other lenders’ first mortgages and notes with interest rates at around 6% for up to 80% of the face value; the existing lender retains servicing. “We provide aggressive senior financing to reduce the holders’ exposure,” Herrick added.
Company history of solving complex problems for owners and developers
Since its establishment in 2013, Case has been providing financing solutions for transitional commercial assets, concentrating on deals in the $2.5 million to $40 million range for properties in the metro New York area and South Florida. “The destruction caused by Hurricane Irma has also created the immediate need for reconstruction and the financing of it,” said Chris Mavros, managing director, CFO and principal of the company. “Case is positioned to be a strategic partner in this massive effort.”
Case is active as a high-yield private lender; a purchaser of performing, sub- and non-performing debt; and a mezzanine and equity investor. Funds are deployed as note purchases, bridge and acquisition loans or rescue and restructure capital.
“At Case, we have always customized a solution for each of our borrowers, and we will do the same with our new small loan program,” said Herrick. The principals of Case evaluate each loan, property and real estate debt purchase based on its own merits, the borrower’s or seller’s situation and business plan, and whether local market conditions allow the firm to execute proven value creation strategies.
