Much like the second quarter, we ended the third with continued optimism.
Despite having one arm tied behind its back (continued lockdown in major states like CA, NJ, NY), the US economy staged an unprecedented (and better-than-expected) comeback during the third quarter, posting a GDP growth rate of 33.1%.
Distress continued to permeate the market on the margins primarily confined to the retail (non-grocery anchored) and hospitality (non-resort) sectors. Capital investors licking their chops for buying opportunities continued to sit on the sideline, while others seeking some measure of return and safety focused on multifamily and industrial. The more intrepid investors gave suburban office a second look as many expected a post-COVID normalcy to include a return to the hub and spoke system for corporate occupiers of space.
Senior debt providers remained disciplined on leverage exposures to most asset class requiring an over-equitization or alternative structured capital to fill the gap. The old stalwarts – mezzanine loans and preferred equity – began to face new challenges from ground lease and C-PACE providers offering cheaper capital, albeit at the expense of senior lenders’ risk exposure.
On a personal note, we decided to return to the office for the sake of maintaining business continuity, corporate culture, and our sanity. Though it was different across our various markets (state requirements), for those that found themselves back among their peers it was a much-appreciated return to a semblance of normalcy. New hires were made and integrated into the various teams in manner that would have been impossible in a remote situation. We continue to seek out talented individuals with a yearning for growth, challenge, and human interaction.
– David Eyzenberg (Adjunct Professor at NYU Schack & UM Herbert Business School)
Select completed transactions
$35MM Single Family Rental Project | Development | Myrtle Beach, SC
Structured and placed a first mortgage construction loan to build the initial 100 units of a 130-unit community.
Eyzenberg & Company expands its product offering to include FHA-insured, low-cost, non-recourse financing for the purchase or refinance of existing multifamily rental housing projects.
HUD 223(f) - Acquisition and Refinance of Market Rate, Affordable, and Subsidized Multifamily Projects
Eligible Property Types:
Existing Stabilized Market Rate
Subsidized Multifamily and Mixed Use
Market Rate: up to 85% without cash-out / up to 80% with
Term / Amortization:
Up to 40 years based on 75% of remaining useful life
Fully amortizing over term
Currently: low to mid-2’s
Non-recourse subject to fraud and misrepresentation carve-outs
Flexible, based on market conditions
Allowable, subject to FHA criteria
Up to 25% of net rentable area and 20% of Effective Gross Income
Yes, subject to HUD and Lender approval
Select Deals in the Market Seeking Capital
Bridge Loan (Leasehold)
$30MM | Hotel | Recapitalization | Miami, FL
$65MM | Mixed – Use | Renovation | Fort Worth, TX
$10MM | Multifamily | Acquisition | Denver, CO
$75MM | Hotel | Development | Orlando, FL
$6MM | Office | Acquisition | Reston, VA
$12MM | Office | Acquisition | Reston, VA
Select Deals Seeking Developers
428-Unit Leasehold Development
$97MM | Multifamily | Development | Miami, FL
400-Unit Leasehold Development
$62MM | Multifamily | Development | Bonita Springs, FL
120-Unit Leasehold Development
$48MM | Multifamily | Development | Greenwich, CT
Real Estate Capital Alliance (RECA) Quarter 3 Production Statistic
Eyzenberg & Company is a proud member of the Real Estate Capital Alliance (reca.us). RECA members arranged over $4.8 billion in capital in 2019. Below are RECA production statistics for Quarter 3 of 2020.
Aruyel Nurbekova joined Eyzenberg & Company in 2022 as Junior Analyst. She assists with underwriting, analysis, and financing memoranda preparation for commercial real estate debt and equity capitalization assignments.
Prior to joining the firm, Ms. Nurbekova worked as a Business Valuation Analyst at Ernst & Young company, one of the Big Four accounting firms.
Ms. Nurbekova completed her Bachelor of Science degree in Corporate Finance and Investment Management at KIMEP University in Almaty, Kazakhstan.
D: (305) 995-0777
Mr. Muniak joined Eyzenberg & Company in 2022 to focus on debt and equity originations in his newly adopted home of South Florida.
Mr. Muniak is Co-Founder and Managing Partner at Makal Equities, a real estate investment firm specializing in multifamily, industrial and retail property in Southern California and New York. He invested, sourced, and underwrote all commercial development and investment opportunities during this time. Furthermore, Mr. Muniak’s previous position as Managing Director at a Family Office in New York allowed him to develop his skills as he increasingly became involved in all aspects of fundraising and deploying the fund’s investment mandate. In his career to date he has invested, sourced, and underwrote commercial development and investment contracts, exceeding 100 million dollars.
Furthermore, Mr. Muniak is a Board Member and shareholder of the Mangia Hospitality Group in New York, where he oversees all aspects of fundraising, including the Group’s investment mandates. As a strategic dealmaker, Mr. Muniak is responsible for retail acquisitions & new developments and acts as a liaison with City and State Government bureaus. Due to his established reputation as a key player in the real estate and hospitality industry, Mr. Muniak has managed to build a wide portfolio of bicoastal projects and has worked closely with top developers, entrepreneurs, and restaurateurs nationwide.
Originally from New York City, Mr. Muniak graduated from Johnson & Wales University in Rhode Island, and completed his graduate Business certificate in Sydney, Australia. He is a long-time martial artist and a philanthropist.