MF1 Capital Lends $37M for Kansas City Pickwick Plaza Apartments

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Alchemy Ventures and RockCrest Holdings have landed a $37 million loan to acquire a Kansas City, Mo., mixed-use multifamily building, Commercial Observer can first report.

MF1 Capital, in a joint venture with Limekiln Real Estate and Berkshire Residential Investments, provided bridge financing for the $39 million purchase of East 9 at Pickwick Plaza Apartments in Downtown Kansas City. Ackman-Ziff Real Estate Group negotiated the transaction.

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“The Pickwick Apartments is an undeniable landmark, its rich and storied past is an integral part of downtown Kansas City’s history and we are looking forward to working with the property to elevate it further,” Alchemy Ventures Principal Sam Kooris and RockCrest Holdings Principal Michael Stimler said in joint statement. “This adds to our 400 unit portfolio we currently own in the urban core of KC.”

Located at 933 McGee Street, the 350,000-square-foot landmarked building is touted by the developers as one of the earliest and largest mixed-use developments in Kansas City. In the 1930s, the building housed the historic Pickwick Hotel and Union Bus Terminal before it was transformed in 2017 to include rental apartments, retail spaces and a parking garage.

New York City-based Alchemy and RockCrest are planning to strategically renovate and upgrade the property, in addition to constructing six new penthouse units on the building’s top floor that feature private outdoor spaces with 360-degree views of downtown. The building’s amenities include a gym, resident lounge, wine center, business center and indoor pool, which will soon be connected to a sauna.

MF1 Capital did not immediately respond to a request for comment on the deal. The multifamily bridge lending and preferred equity platform was founded in 2018 with the backing of CBRE.