This mortgage provided the owner with funds to satisfy the existing debt, and to recover funds that had been used both to acquire the property and to renovate the commercial space.

The first floor, full-height basement, and part of the second floor are occupied by a well-established, successful French restaurant. The rest of the second floor serves as the offices for the owners of this and several other restaurants. There are 12 apartments on the upper three floors of the building.

New York is filled with similar “properties emerging from transition”, where a new owner may see a new use or an untapped potential that the previous owner either couldn’t visualize, or perhaps lacked the time and expertise to effectively implement.

Mortgages for owner-occupied businesses, especially restaurants, are underwritten differently by lenders than straight real estate loans. The lender needs to be comfortable with the history and strength of the business before even looking to the real estate component of the proposed loan.

The mortgage has a ten-year term, amortizing on a 30-year schedule. Henry Berliss negotiated this loan.

Winter & Company specializes in providing advisory services as well as both institutional and private mortgages to commercial real estate owners and professionals nationwide. Its affiliate, W Financial is a direct private bridge and mezzanine lender providing short-term, special situation financing to developers, owners and investors. If you are an accredited investor and would like to learn more about investing in the Fund, visit PrivateMortgageInvestment.com