Fairmount/Art Museum Mixed Use Redevelopment

18.0%
gross ann. return*
10 mo.
term remaining
D
Cash Flowing to Investors
Current Ann. Return 8.0%
Accrued Ann. Return 10.0%
Gross Ann. Return* 18.0%

Investment Details

Current Ann. Return 8.0%
Accrued Ann. Return + 10.0%
Gross Ann. Return* 18.0%
Term Remaining 10 of 36 mo.
Min. Investment $5,000
Investment Size $375,000
Security Type Mezzanine Debt

Investment Summary

MM Partners is looking to raise $375,000 of Unsecured Mezzanine Debt to help finance the redevelopment of three contiguous, historic early 20th century brick warehouses into a mixed-use project comprised of retail/office space, apartments, and accessory parking in Philadelphia’s Fairmount Park neighborhood. The development will happen in conjunction with the Fairmount/Art Museum Adaptive-Reuse Lofts and will join a series of other successful MM Partners’ projects in the neighborhood.

Key Deal Points

50% preleased

Yes, we have preleased 50% of the retail space to a yoga studio and a local coffee shop chain and have strong interest for the office space from an architecture firm and a real estate company (split the space in half). The apartments we will begin preleasing 90 days before completion.

Short construction timeline

12 months total for all the buildings upon commencement of construction, we will turn over the preleased retail and office earlier, within 6-8 months of the commencement of construction.

Very good building condition

The buildings are in very good condition with only minor environmental remediation required, which is to be expected in buildings of this vintage. Structurally, they are in great shape according to our structural engineer and architect, requiring a few joists be replaced, otherwise they are ready to be re-developed.

Projected Return Calculator

Principal
$5,000
Gross Annual Return* 18.0%
Term 36 mo.
Total Return*

Fundrise Rating

The Fundrise Rating is a letter rating ranging from A to E that provides investors with the ability to easily compare investments across the Fundrise platform. The Fundrise rating measures the relative risk-adjusted return of an investment. Learn more
D3
A
1
2
3
B
1
2
3
C
1
2
3
D
1
2
3
E
1
2
3
Category Assessment Points
Capital Senior to Fundrise 70-79% 4
Capital Junior to Fundrise 10-19% 4
Location Secondary 2
Occupancy Vacant 3
Development Phase Value-Add 2
Sponsor’s Track Record $50-249 million 2
Overall 17 D3

The information contained in the Fundrise Rating is for informational purposes only. It is impersonal and not individualized for any specific investor's financial situation and is not investment advice. These ratings are not intended to be, nor should you interpret them to be, a prediction of how a particular investment will actually perform. You should always carefully consider investments in any security and be comfortable with your understanding of the investment. You may also consider consulting investment professionals.

Risk-Adjusted Return

Capital Structure

Type Source % of Total Amount
Equity Sponsor & Private Investors 1.5% $150,000
Tax Credits TD Bank 7.9% $762,434
Unsecured Mezz Debt Fundrise Offering 3.9% $375,000
Mezzanine Debt PIDC 7.7% $750,000
Senior Debt 79.0% $7,655,913
Total 100.0% $9,693,347

Property Summary

The subject project is comprised of three contiguous historic early 20th century industrial warehouses (and a vacant lot for accessory parking) located in the Fairmount/Art Museum neighborhood of Philadelphia, which will be developed into a mixed-use project comprised of retail/commercial space, apartments, and accessory parking for the apartments and the retail/commercial space.

Address 1626 Fairmount Avenue
City & State Philadelphia, PA
Neighborhood Fairmount
Product Type Mixed-Use / Retail, Residential, Office
Project Phase Value-Add / Adaptive Re-use

Market Summary

The properties are centrally located in the affluent Fairmount neighborhood, which is one of Philadelphia's most eclectic neighborhoods, combining tourist attractions, row homes, restaurants and the public art and green spaces of Fairmount Park while within easy walking distance of the Central Business District. The neighborhood has seen impressive home price and rental appreciation over the past 15 years and continues to be one of the most desirable residential neighborhoods in the city.

About the Sponsor

David Waxman

Principal

Jacob Roller

Principal

MMPartners, LLC is a Philadelphia-based, vertically integrated real estate development, construction and management company that was formed to improve and revitalize Philadelphia’s historic Brewerytown neighborhood and to effectuate positive neighborhood change.

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Other Past Investments

Atlanta Condo Pre-Development Loan

Atlanta, GA
B
Gross Ann. Return* 14.0%
Term Remaining 0 mo.
Underlying Security Senior Debt

Brooklyn 3-Unit Apartment Repositioning - Senior Loan

Brooklyn, NY
B
Gross Ann. Return* 11.0%
Term Remaining 0 mo.
Underlying Security Senior Debt