The Mid-Atlantic branch of Ira Zlotowitz and Abraham Bergman’s Eastern Union Funding, LLC, arranged financing for the $4.6 million purchase of a northwest D.C. office building located at 1820 Jefferson Place NW in Dupont Circle.
The firm structured a loan covering 90% of the value for the client’s purchase.
The property is actually an attached house comprising 8, 950 square feet over three floors. It has hardwood floors, built in book cases, fireplaces and was once the home of President Teddy Roosevelt. It was built in the late 1880s in the Queen Anne style which was popular then. The offices will undergo construction for a 15, 000 square foot addition.
The purchase was a year-long effort by Steven Kalifa, owner of Human Touch Home Health Care Agency, which employs over 800 healthcare professionals and has over five locations ranging from the D.C. area to Pennsylvania.
The five year loan was provided by a regional balance sheet lender and features a rate of 4.4%. The transaction was arranged by Marc Tropp, Shai Romirowsky and David Merkin, all based out of the Eastern Union’s Bethesda, MD branch.
“Our client wasn’t getting the proceeds he needed but we created security and a relationship which not only closed this deal, but will lead to many more, ” Merkin said. “The structure we arranged with the lender took out a second position on another asset the client owned, enabling a 90 percent loan to value. Meanwhile, we created a life-long partnership between one of the top healthcare firms in the nation and a bank that could grow all aspects of our client’s business. The deal was one of a kind.”
“Eastern Union really came through for us, ” Kalifa said. “Based on what I heard from the two banks I approached on my own, the deal wouldn’t have made sense, but the rate Eastern got us was phenomenal and we’re working on two more deals.”
In other Eastern Union News, the firm negotiated $9.8 million to refinance a large multifamily in downtown Baltimore.
The ten-year loan was provided by a national balance sheet lender and features a competitive rate of five percent without recourse. The transaction was arranged by Marc Tropp and Michael Obadia, both based in the firm’s Bethesda, Md. location.
The 39 unit building is located at 1501 Saint Paul Street.