Palisades Financial Further Penetrates New York City Market with Participation in First Mortgage and Construction Loan on Property Valued at $130 Million
Company Secures

Fort Lee, NJ, Mar 26, 2007 - /FLIERWIRE/-- Palisades Financial, a leading Fort Lee, New Jersey-based investment banking and advisory firm, has acquired a "B" note of $93,000,000 first mortgage for the acquisition and construction of a condo conversion building project in the Chelsea/Flatiron district of Manhattan. The property, which will have a sellout value of over $130,000,000, is located at 650 Sixth Avenue on the corner of Sixth Avenue and West 20th Street.

"Substantial demand growth for well-located Chelsea condominiums creates heated competition for buildings such as 650 Sixth Avenue," said Billy Procida, principal of Palisades Financial, which has over $30 million invested in New York City assets. "It's rare to find an asset that can offer such a prime corner location is such a fast growing neighborhood or, for that matter, any in demand neighborhood of Manhattan."

When the conversion is completed, 650 Sixth Avenue will feature 16,527 square feet of ground floor retail space and 67 luxury, loft-style residential condominiums averaging 1,206 square feet, with the smallest unit being 701 square feet and the largest penthouse unit being 2,622 square feet. The building's exterior will be predominantly comprised of face brick and a combination of terra cotta, granite, and brownstone, with double-hung wood windows and decorative metal work. SHVO Marketing is marketing the residential space and CB Richard Ellis is marking the retail space.

About Palisades Financial
Palisades Financial is an investment banking and advisory firm specializing in real estate secured corporate lending. Palisades Financial has successfully completed over $2 billion in transactions in 14 states since its founding in 1995 by William Procida. In 2002, Palisades Financial launched its first fund, Palisades Regional Investment Fund 1, which has invested in transactions valued at over $500 million. The Fund, now closed to new investors, provides first mortgages, bridge, mezzanine and equity financing. In April 2006, Palisades Financial launched Palisades Regional Investment Fund II, which is raising $200 million. Both Palisades Financial and the Palisades Regional Investment Funds are based in Fort Lee, New Jersey. For more information, call 201-894-5000 or visit www.palfi.net.