After launching as a partnership with The Goldstar Group in 2009, Bethesda-based Metropolis Capital Finance is (amicably) going its own way, luring Joe Friedman away from Transwestern to add investment sales and relaunch as Metropolis Capital Advisors.
Joe, snapped with MetCap founder/CEO Cliff Mendelson, says the chance to create the market's only boutique firm to specialize in structured finance and sales was what drew him to MetCap. He says it's a huge opportunity for him and his clients who are actively buying, selling and financing property in the middle-market between $5M and $25M. He's stepped in as managing director of investment sales.
Cliff told Bisnow yesterday that he and Goldstar CEO Michael Brodsky mutually decided to divest their interest in each other's company. MetCap will still represent Goldstar in some of their financing deals, and the two still have adjacent offices in Bethesda.
"Michael didn’t really want to be in the finance business," Cliff says. "I didn’t really want to be in the long-term ownership business."
MetCap has also promoted one of its rising stars, Eric Hynek, from associate to director as it launches its next phase. Cliff says Eric financed more than $70M worth of deals last year alone, so the 20-something is poised for big things.
In 2016, the independent MetCap is aiming for more than $600M in financing packages, Cliff says, after hitting $500M in 2015. Considering Cliff is in talks on a $100M portfolio deal on behalf of a client, $600M seems like a safe bet. On Joe's side of the business, he says 2015 was "as active of a year as I've seen in 10 years" in DC investment sales. And he expects that to continue in 2016 as the stock market remains highly volatile and interest rates stay low.
Meanwhile, in the office down the hall, Michael tells Bisnow that he'll continue using MetCap to help source debt and equity, just like he did when Cliff was at Transwestern. And Goldstar is under contract for one value-add office building and looking at three different apartment properties. We'll have more from Michael when those deals close.
