Needham, MA,  October 1, 2005. Potomac Realty Capital, LLC (“Potomac”), a full-service provider for bridge, mezzanine and permanent commercial real estate loans, structured and closed a $166,000,000 portfolio loan, secured by 2,200 multi-family units in eleven (11) properties in Baltimore, Maryland. The Loan included both a 7-year fixed-rate, interest-only coupon totaling $156 million that carries a rate of 5.48% and a $9.75 million, interest-only bridge loan at Libor + 2.95%.  The financing enabled the Borrower, whose principal investor is a partnership sponsored by CMS Companies of Philadelphia, to retire its existing Freddie Mac first mortgage debt and unrelated mezzanine debt encumbering the Portfolio.  Potomac was able to meet the borrower’s requirement for an accelerated closing and funded the loan in less than 30 days. 

“Our company devised a way to meet the Borrower’s needs by providing permanent, interest-only, fixed rate debt for the majority of the Portfolio that the Borrower is looking to hold on to long term, while funding a short-term, flexible, bridge loan for two properties the Borrower is looking to sell,” said Dan Palmier, President & CEO of Potomac.  “We structured, underwrote and rate locked this complicated financing in less than 30 days. We are very pleased to have helped the Borrower enhance its investor returns, over the next 7 years, by exploiting a special time in real estate capital markets,” added Palmier.

Potomac finances customized interim real estate transactions designed for visionary owners who value innovative financial solutions, strong relationships, and outstanding service.  Since it was formed in June of 2004, Potomac has originated approximately $1billion in commercial mortgage loans. Palmier, who has more than 20 years of experience in commercial real estate, formed Potomac to offer innovative financing solutions for various types of deals, including those that don’t meet strict underwriting guidelines.  “We look past the numbers to see the intrinsic value of the deal.  Always keeping our client’s needs in mind, together with our customers, we create value.” said Palmier.  Potomac is headquartered in Needham, MA, with offices in New York and Atlanta.

For more information regarding Potomac Realty Capital, please contact Dan Palmier at (781) 972-0170.

Media Contact:              Elizabeth Sarhaddi

                                    Director of Marketing

                                    Potomac Realty Capital

                                    781.972.0170 ext.288