Pearlmark announced that it closed on a $7.9 million mezzanine debt investment for the development of Onyx on Park, a 61-unit multifamily property in the Hillcrest neighborhood of San Diego, California. The property will consist of 55 market rate and 6 affordable units with a parking ratio of 1.3 spaces per unit. The seven-story midrise apartment asset will offer over-sized units by market standard with outstanding views.
The investment was made on behalf of Pearlmark Mezzanine Realty Partners V, L.P. (“Mezz V”). The senior loan was provided by Farmers and Merchants Bank. Highland and DiversyFund were collectively the borrower. Bryan Clark with JLL represented the sponsors as advisor in the project capitalization.
Bill Swackhamer, Managing Director of Pearlmark, arranged the transaction for Pearlmark. Mr. Swackhamer commented, “We have confidence in the durability of the San Diego multifamily market and the local experience of the sponsor partnership with new development projects makes this an attractive investment for our fund.”
Doug Lyons, Managing Principal and Head of Debt Investments for Pearlmark, further commented, “The quality of design with a prominent location in Hillcrest overlooking Balboa Park and the city to the south combine to create very attractive apartment living at relatively affordable rents.”
Pearlmark is a Chicago-based investment firm that targets domestic core to value-add real estate opportunities via commingled funds, separate accounts, and joint venture structures. Since 1996, Pearlmark has sponsored more than a dozen real estate equity and debt investment programs and completed 565 real estate equity and debt transactions on behalf of investors, representing $5.3 billion in equity capital commitments and $13.8 billion in gross investment value. Pearlmark is dedicated to creating value for its investors and offers a range of investment opportunities nationwide across various property types (office, industrial, multifamily). For more information, please visit https://www.pearlmark.com.
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