$20M loan for 293-unit apartment building in Art Museum area

The Dalian on Fairmount, a 293-unit multifamily building in Philadelphia’s Museum District received a $20 million mezzanine loan from Federal Capital Partners to finance its groundbreaking this fall.

The nine-story property will be built above the future 55,000-square-foot Whole Foods(501 N. 22nd St.) at Rodin Square, and will be walking distance from the Philadelphia Museum of Art, the Barnes Foundation and Fairmount Park.

The Dalian will feature a second-level 12,000-square-foot glass lobby, and a 35,000-square-foot “Sky Park” outdoor amenity space, which will include an infinity swimming pool, a grill and bar area, outdoor dining areas and a green roof.

"It's a great project in Philadelphia. It's going to be the next premier apartment building," said Will Simpson, senior associate at Federal Capital Partners. "Our primary goal is to lend to quality sponsors and Dalian is one of them."

Furthermore, Simpson said: "This is going to be a very highly-amenitized, first-class luxury apartment."

This is Federal Capital Partners’ third structured investment in Philadelphia. The company also financed the renovations of The Icon (1616 Walnut St.) and The Arch (1701 Arch St.).

With an estimated $130 million in total construction cost, Dalian Development received $90 million in senior construction financing from Santander along with Federal Capital Partners' $20 million mezzanine loan.

The project is expected to be completed by winter 2016.

Source: Philadelphia Business Journal