Shorewood Real Estate Group and Prodigy Network landed $105 million in construction financing for their mixed-use development at 17 John Street.
The package consists of two loans — a $66 million mortgage from ACORE Capital and a $39 million mezzanine loan from the Vanbarton Group, the Commercial Observer reported.
The developers, in partnership with Nathan Berman’s Metro Loft Management, want to split the 15-story development into co-working space and furnished short-term rental apartments in the mold of Rudin Management’s 110 Wall Street.
Rodrigo Nino’s Prodigy Network has raised more than $50 million in equity for the project through its crowdfunding platform, according to S. Lawrence Davis, the head of Shorewood. The project’s total expected cost is $160 million, with an opening scheduled for late 2017.
Vanbarton is among a handful of development firms to dabble in mezzanine lending, joining the likes of RXR Realty, Moinian Group and Kushner Companies. [CO] — Konrad Putzier