Randy Plavajka
Former PacWest division will focus on non-recourse bridge and construction financing following move.
The strategy arrives as the firm sees more industrial, construction and multifamily opportunities.
Greystone-arranged financing will help build submarket’s tallest multifamily asset.
The deal is the largest year-to-date construction loan originated in the US.
Washington, DC, shopping mall will be redeveloped into mixed-use asset with 320 apartment units.
The sector is being hit by rising interest rates and other trends also affecting the broader commercial real estate debt markets.
Goldman Sachs, US Bank, Franklin BSP executives anticipate more stress and higher debt costs.
Mezzanine debt lenders are seeing rising interest from senior lenders and sponsors to bridge the financing gaps for new and existing loans.
Co-founder Jonathan Roth expects firm to originate more gap and bridge financings in current market.
The financing funds the first phase of Sterling Bay and Harrison Street’s collaborative $650m project.