KSI Capital participates in a $2.6 million loan to rescue bankrupt company in Camden, New Jersey*
PARAMUS, NJ, January 25, 2005 -- Camden, New Jersey may have a reputation as a tough town with lots of economic and social difficulties, but KSI sees enough potential to make a significant loan to Nedmac Associates, Inc. KSI provided Nedmac with $2.16 million dollars, to alleviate chapter 11 bankruptcy claims against a 5-story office building leased by the company from the City of Camden. About 5% of the loan will be used for concrete repairs and fire code compliance equipment.
The Parkade Building , on Market Street in downtown Camden , has office space totaling approximately 200,000 sq. ft., plus a parking area approximating 300,000 sq. ft. The County of Camden Probation Department and Family Court are the largest tenants, and while Nedmac has another 25 years on a lease for the building, the City of Camden has an option to purchase the leasehold at any time. The bridge loan from KSI enables Nedmac to clear up the bankruptcy proceeding, related to real estate taxes, and to make necessary capital Louboutin outlet sale improvements to the building â€“ plus, of course, maintain control of the property.
Bankruptcy in Camden would be considered two strikes by traditional lenders. KSI looks beyond the surface issues and really delve into the true business value of the property. KSI saw an office building with 80% occupancy, a decent net operating income, and a dedicated management team. Loaning the funds to alleviate the immediate problems and allowing Nedmac to continue functioning as the primary leaseholder is a sound business Mulberry decision. Sound enough, that KSI found a way to complete the loan despite that fact that Nedmac, having only a lease on the property, was unable to provide a first mortgage as collateral.
An increasingly wide range of borrowers, from land-use developers to resort builders, entrepreneurs, and major businessmen, have turned to KSI, obtaining financing from $1 million to $50 million. KSI can make loan commitments in as little as Breitling replica watches 24 hours, and close in as little as 10 days.