Boston, MA, April 4, 2005 - NewStar Financial, Inc. ("NewStar"), a Boston-based commercial finance company, announces that it was the sole lender in a $12,665,000 first mortgage loan to finance the acquisition, renovation and stabilization of Arundel Apartments, a 210-unit multifamily apartment building located in suburban Wilmington, Delaware. The financing was arranged by Carey, Kramer, Pettit and Panichelli Associates, Inc. who also acted as exclusive financial advisor for an affiliate of Frank Robino Associates.
NewStar's financing provides an initial funding for the property acquisition and allows the borrower to make subsequent draws for renovations and soft costs. Planned renovations at the property include new kitchens, baths, lighting and carpeting in the units and an upgrading of building entrances and hallways. The new owner will also add a clubhouse for the property, which will incorporate a fitness room, business center, and a new pool complex.
"Listening to and understanding our client is a big part of NewStar's success," said Dan Adkinson, head of real estate for NewStar. "We worked very closely with our client to understand their needs as well as the market in Wilmington and delivered a great loan under a very tight time frame."
NewStar's deal team for the transaction included Jim Korinek, Gregg Delany and Gabe Pozo.
About NewStar Financial, Inc.:
NewStar Financial, Inc. was formed in June 2004 by a group of senior banking and capital markets executives from leading financial institutions, including FleetBoston Financial, Citigroup and JP Morgan Chase, and leading institutional investors including Capital Z Partners, JP Morgan Corsair Capital Partners and Och-Ziff Capital Management Group. NewStar is focused exclusively on providing customized financing solutions to mid-sized borrowers in three lending groups: Middle Market Corporate, Commercial Real Estate, and Structured Products. For more information, please contact the appropriate individual below.
Gaffney Bennett Public Relations