Diligence Capital Advisors Secures $5.75M Construction Loan For Hackensack Development Site

19 Mercer St in Hackensack is a development site with a total square footage of 36,000. The property was purchased for $1,800,000 and is currently a cleared out commercial building. The plan is to convert it into a residential space with a vertical addition of six floors.

Summary of transaction details

• Property Type: Development Site
• Transaction Amount: $1,800,000
• Market: Hackensack
• Square Footage: 36,000

Diligence Capital Advisors represented the landlords, Tzvi Miller, Ben Diamond, Yitzy Laniado, and Amanda Sokol, in the acquisition and renovation of 19 Mercer St. They procured a construction loan from Asset Based Lending (ABL), totaling $5,750,000. The loan has a term of 24 months and 83% loan-to-cost (LTC) ratio. The borrower, a full-time real estate investor and first-time borrower with ABL, had a renovation budget of $5,088,289 for the property.

Note from Amanda Sokol: Due to the extensive scope of work required, ABL granted a 24-month loan term instead of the typical 12-month terms.