Newmark is preparing for the public auction of a partly completed residential complex in Cherry Hill, New Jersey, which will be sold on June 15 as part of a uniform commercial code (UCC) collateral disposition.
The New York-based brokerage is marketing the sale on behalf of 100 Mile Plaza Grande , a New Jersey-registered limited liability company which is also the senior lender on the complex, according to a teaser on the property.
The property, The Plaza Grande of Grand State Park Condominium, is backed by a non-performing senior loan with a principal balance of $130 million, exclusive of protective advances and accrued and unpaid interest. The UCC sale pertains to 100 percent of the senior lender’s interest in the company that owns the property.
Located along Haddonfield Road in Cherry Hill and close to the border with Pennsylvania, the residential complex is under construction and is expected to have 507 units and 16 buildings upon completion. The existing six buildings at the property feature four-story multifamily garden-style apartments, with 96.9 percent of the existing units leased. The next phase of development is expected to construct 10 more buildings, adding 315 apartment units to the site.
A market participant familiar with the sale told Real Estate Capital USA that foreclosure after the public auction could take longer time in New Jersey as it is a judicial state where the lender needs to go through a state court foreclosure process.