Delray Beach, Fla. (May 18, 2020) – Berkadia announces it has secured $8.5 million in financing for the recapitalization of 94 of 275 units at Murano of Delray Beach, a condominium community located off of Delray Beach’s vibrant Atlantic Avenue corridor. Senior Managing Director Charles Foschini and Managing Director Christopher Apone of Berkadia’s Miami office arranged the financing on behalf of the borrower, ESG Kullen, which purchased the units in early 2018.
The lender is a local Miami-based bank which provided a non-recourse 10-year, fixed-rate loan for the collateral with a competitive interest rate that is fixed for the initial 5 year period with a reset option for the remaining 5 years should the borrower choose to extend the loan.
“The lender provided an exceptional execution for ESG Kullen and stuck to their original deal terms which were negotiated in the pre-Covid world,” said Apone. “Given ESG Kullen’s extensive experience in the fractured condo arena and the quality of the collateral, the lender was extremely comfortable with the sub 50% ownership/lack of HOA control, allowing the borrower to capitalize on non-recourse financing and a cash-out over and above the existing mortgage.”
Located at 15005 Michelangelo Boulevard, Murano of Delray Beach was built in 2001 and consists of a mix of one-, two- and three-bedroom floor plans with an average unit size of 1,213 square feet, some with attached garages. Amenities at the gated community include a resort-style swimming pool, lighted outdoor tennis court, fitness facility, and stylish clubhouse with entertaining kitchen.
The property is located just off West Atlantic Avenue, providing easy access to both I-95 and Delray Beach’s entertainment district, featuring over 200 restaurants, retail stores, hotels and art galleries.