Terra Capital backs Ferncroft’s acquisition of North Carolina office property and parking deck

Terra Capital Partners has provided a $23.9 million bridge loan to Ferncroft Capital to support its acquisition of an office property and parking deck in Charlotte, North Carolina’s uptown neighborhood. Holliday Fenoglio Fowler LP brokered the loan.


NEW YORK and CHARLOTTE, N.C., Feb. 11, 2019 /PRNewswire/ — Terra Capital Partners (“Terra”), a New York based real estate credit asset manager, today announced the closing of a $23.9 million bridge loan to facilitate the acquisition of an office property and parking deck in the Uptown neighborhood of Charlotte, North Carolina. Holliday Fenoglio Fowler, L.P. (“HFF”) brokered the bridge loan, which was provided to Ferncroft Capital, a Charlotte-based, boutique private real estate investment firm.

The property includes a 65,000 square foot office building on South Tryon Street, as well as a parking deck with more than 220 spaces, facing South Church Street at West Martin Luther King, Jr. Blvd. The recently renovated office building has had strong historical occupancy and is fully occupied. Located in the heart of Uptown Charlotte, the property enjoys close proximity to public transportation as well as more than 30 restaurants and bars.

“This transaction underscores Terra’s success in identifying well-positioned assets in markets with strong fundamentals and our ability to offer our borrowers bespoke financing solutions, all while maintaining our disciplined approach to investing,” said Dan Cooperman, Chief Originations Officer of Terra Capital Partners. “As a result of this bridge loan, Ferncroft Capital will have the capital necessary to support their plans for the property and capture its full value potential. We are pleased to have collaborated with Ferncroft Capital, who has a successful track record of long-term value creation, on this project.”

The HFF debt placement team representing the owner consisted of Senior Managing Director, Travis Anderson and Senior Director, Cory Fowler.

Mr. Anderson added, “We are pleased to have facilitated this loan to Ferncroft Capital. The positive market dynamics, such as the substantial employment growth and MSA demographics, which outpace the country as a whole, embody the exciting opportunities in the Charlotte market. Terra has been an exceptional partner, and we look forward to working with them in the future.”

“Terra Capital Partners immediately understood the mark to market investment strategy as well as the development optionality this location has for a higher density mixed use project in the future. Their vast background in lending on all phases of the capital stack was very beneficial to helping create a debt structure that fits perfectly with our investment objectives,” said John R. Hollmeyer, Principal of Ferncroft Capital.

About Terra Capital Partners
Terra Capital Partners is a New York City based real estate credit asset manager that invests across property types, markets and securities. The firm has deployed $2 billion of capital and has built a strong track record over its history. Currently, Terra has approximately $500 million of discretionary capital under management.

About HFF
HFF and its affiliates operate out of 26 offices and are a leading provider of commercial real estate and capital markets services to the global commercial real estate industry. HFF, together with its affiliates, offers clients a fully integrated capital markets platform including debt placement, investment advisory, equity placement, funds marketing, M&A and corporate advisory, loan sales and loan servicing. HFF, HFF Real Estate Limited, HFF Securities L.P. and HFF Securities Limited are owned by HFF, Inc. (NYSE: HF). For more information, please visit hfflp.com or follow HFF on Twitter @HFF.

About Ferncroft Capital
Ferncroft Capital is a private real estate investment firm headquartered in Charlotte, NC. The firm co-invests with institutional partners, private equity funds and family offices, and has sponsored investments valued at over $425 million since its founding in 2007.