October was the company’s second-best month in its history, with nearly $45 million in loans secured. Tower Capital, an independent finance firm focused on commercial real estate, is on track to reach $200 million in loan volume this year.
“For an independent shop here in Phoenix, that is a tremendous amount of loan volume,” co-founder Adam Finkel said. Phoenix-based Tower Capital originated and closed nearly $45 million in loans in October, the second-best month ever for the company, which Finkel and his business partner, Kyle McDonough, started in March 2015.
Tower Capital works to secure money for commercial real estate deals, including acquisitions and ground-up construction, Finkel said. Multifamily complexes make up the majority of the firm’s business, followed closely by hotels. The largest Tower Capital closing in October, Elux at Tramonto, a 138-unit apartment complex, was a $23 million loan that closed in 15 business days. Finkel said when he and McDonough started the company, they identified a need in the Phoenix area for an independent intermediary firm.
“We found a niche in the market,” Finkel said. “There was a need for an independent shop that provides independent advice and are not beholden to one lender.” The firm has done about 80 deals worth nearly $500 million since it opened.
“Our goal is to keep working on bigger deals,” Finkel said. Finkel said the first quarter of next year is already looking strong for the firm, and they expect to continue growing in loan volume secured.
14 Nov | PHOENIX BUSINESS JOURNAL