DETROIT—Much of the recent news out of Detroit concerned the city’s bankruptcy, but at the same time many companies have resettled in the CBD, buying and then opening up many underused or even vacant properties. And the strengthening of the real estate market has certainly caught the interest of lenders. The debt and equity finance group of Mission Capital Advisors, for example, recently arranged first mortgage financing for the Ellington, a mixed-use development located at 3670 Woodward Ave.
The Mission Capital team of Tom Hall, Ari Hirt, Steven Buchwald and Jamie Matheny secured the loan on behalf of RAM Realty Services, a Palm Beach Gardens, FL-based real estate firm that developed the property in 2005.
The Ellington’s fully-occupied retail component, as well as 254 stalls in the adjacent Midtown Parking Garage collateralizes the loan. The building has street level retail below 55 luxury residential units. The tenants include Bank of America, Starbucks and JP Morgan Chase, and the first-ever inner city Whole Foods Market shadow anchors the property.
“As real estate fundamentals remain strong, we are seeing a variety of lenders increasingly willing to provide loans to owners of retail properties,” says Hall. “RAM could not have timed their project any better with the Ellington’s debut coinciding with the current trending of Detroit’s Midtown neighborhood. With an influx of entrepreneurs and young professionals along with planned transportation enhancements, Midtown has become a prime retail market.”