Structured and arranged joint venture equity to capitalize the acquisition and repositioning of a 300-unit multifamily property in Tampa, Florida.
Challenges
The property was under contract for a higher per key amount than several recently completed transactions in the local market. Additionally, the sponsor’s track record consisted of only a few comparable multifamily acquisitions and a limited track record working with institutional equity partners.
Solutions
Identified one of a handful of equity capital providers that structure their JV waterfalls in a senior subordinate sequence rather than the traditional pari passu manner. The effect of this structure allows the capital provider to enjoy a lower basis while allowing the sponsor to earn a greater promote. Worked with the sponsor to address the comparable property differences and justify the higher basis and rental rates proposed for the subject property.
Gary Melman joined Eyzenberg & Company in 2024 and is responsible for
originating, structuring, and placing debt and equity capital for commercial real estate
transactions throughout the U.S.
Gary is a seasoned commercial real estate finance and investment manager with
substantial institutional experience in capital markets, financing, acquisitions, and
asset management across various asset classes during his prior roles at J.P.
Morgan, TIAA-CREF, American Realty Advisors, and PCCP.
Prior to joining Eyzenberg & Company, Gary was responsible for capital markets at
Intracorp Homes, originating and placing capital for Intracorp’s multi-family,
townhome, and condominium ground up development projects on the West Coast.
Gary received an MBA in Finance from NYU Stern School of Business, a BBA in
Finance from Pace University, and is a licensed real estate broker in California.
gmelman@eyzenberg.com
D: (305) 995-0777 ext.729
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