Originally acquired by Tower Investments, LLC, the Showboat Hotel & Casino is part of a master-planned re-development project. The Avant Capital loan is secured by a 255-unit residential tower in Atlantic City originated by a $24m bridge loan.
After closing its doors in 2014, the tower that Avant has financed was converted from 514 hotel rooms to 255 multifamily apartment units and is now known as The Showboat Residences. The bridge loan gave the sponsors proceeds for the recapitalization and equity cash-out of the property and closing costs.
Managing Principal of Avant, Adam Luysterborghs said: "This was a target loan investment for us. We like the asset and sponsorship group involved and hope to effect deals like this one on a regular basis going forward."
Avant’s portfolio manager and originator of the loan, Bernard Wolff said: "We were very pleased to provide the senior loan at attractive pricing and to close on the equity cash-out financing for the sponsor, Tower Investments.
He continued: "We are providing bridge loans across the country, and we are developing a great reputation in the market by financing deals that need quick closes and creative structuring to meet the borrowers’ objectives."
The Avant Capital firm focuses on first mortgage loans secured by commercial properties nationwide. The company also creates and manages investments in commercial real estate debt. The loan was brokered by Marko Kazanjian of Meridian Capital Group.
Tower Investments, LLC is a developer of retail, entertainment, and commercial properties in the Philadelphia area.
