A planned self-storage complex at 112 New Brunswick Ave. in Perth Amboy, as seen in a rendering created by the Butz Wilbern architecture and planning firm and PSG, an architecture company. — Courtesy: Eastern Union
By Joshua Burd
The developer of a new 1,115-unit self-storage facility in Perth Amboy has secured $15.5 million in financing for the project, under a transaction arranged by Eastern Union.
Brokers with the firm represented the borrower, 112 New Brunswick Properties Urban Renewal LLC, in sourcing the loan for the 130,000-square-foot building. Orix USA Corp. is providing the non-recourse financing, which will cover costs associated with both land acquisition and construction at 112 New Brunswick Ave.
“It’s challenging to secure construction financing even under normal market conditions,” said David Merkin, a managing director based in Eastern Union’s Bethesda, Maryland office. “Eastern Union was pleased to meet our client’s needs by identifying a lender that was ready to offer a non-recourse loan at a high leverage ratio. Moreover, the lender was willing to stand by its original offer, even as economic circumstances were rapidly changing.”
Merkin completed the assignment alongside Barry Dollman, an underwriting director. He noted that, despite a backdrop of intense marketplace disruption due to the COVID-19 virus, the deal closed on March 30 with the lender adhering to its original terms.
Extra Space Storage will operate the facility.