ENGLEWOOD CLIFFS, NJ—Procida Funding was busy with a flurry of financings during the last week of 2017, including a $68.5 million construction loan on the Gulls Cove condominium project in Jersey City that the firm says was paid off at 4:48 p.m. on the Friday before New Year’s weekend, the last transaction of the year.
The day before that, Procida Funding’s 100 Mile Fund closed a $6.5 million construction loan on a new retail center for the Mabie Family in Toms River, and the day before that it provided a $1 million loan for ongoing construction at The Metropolitan Opera House in Philadelphia, PA.
It was a big finish to what otherwise was intended to be quiet year for The 100 Mile Fund. Following three years of originating approximately $100 million aa year in bridge, construction, and mezzanine loans, Procida Funding’s president and CEO, William “Billy” Procida had cautioned early in 2017 that he was becoming much more cautious in his selection of investments.
Procida says he slowed the fund investments to seven loan originations for $27.95 million, while he paid off $102.98 million mostly smaller loans.
Procida’s 2017 highlights include:
- A $7 million construction loan on a ground-up condo project in Cobble Hill, Brooklyn for long-time client Jim Kennelly. Kennelly and Procida have done more than $100 million in deals dating back to 1998.
- Another 20-year client, John Kwak, closed a loan for an existing student housing complex next to Rutgers Newark campus in the amount of $3.5 million, to upgrade the units and perform tenant improvements for a food court.
- Procida says his favorite loan of the year was a $750,000 loan on a property in Paterson, NJ, that fixes fuel oil trucks.
- Procida provided a $1.5 million loan to pay off and existing lender and preform improvements at an industrial complex that houses an auto mechanic, body shop, brewery, a national environmental firm, and serves other industrial uses in Kenilworth.
- Procida Fund’s $20 million investment in Beacon, NY, also came to a successful end in 2017. Procida’s funds went to an expansion of the Roundhouse Hotel, ultimately named one of Delta Magazine’s Top 10 wedding venues; The Hudson Valley Brewery, rated one of New York’s Top 10 brewers; the renovation of the Beacon Theater into 50 apartments and a community theater; and 1 East Main, a loft condo development in an old factory building.
- Other loans repaid for the year included a $14.5 million loan to Supor Industries for its industrial complex in Harrison, NY; a $2 million loan to Romano and Sons Tile in Lodi NJ.
- Procida announced that its five-year $25 million program to renovate Paterson with developer Charles Florio has come to a successful ending.
“What started out with a $180,000 loan to a 23-year-old developer in 2009 turned into $25 million, and substantially improved some of the most dangerous neighborhoods in Paterson,” says Procida. Charles did a great job and is now focusing on Southern states. We are proud of what he did and proud to be a part of it.”