NEW ORLEANS – New Orleans based real estate developer Anthony Marullo has launched the $100 million Louisiana Revitalization Fund aimed at “investing in the revitalization of the hospitality and other service-based industries that have recently suffered due to the pandemic,” according to a press release from SVN | Urban Properties Real Estate.
The Meineke Care Care Center at 4243 Canal Street, the first property bought by restaurateur-turned-property-developer Anthony Marullo out of a $100 million "war chest" he's raised from local investors and banks to buy up commercial properties.
The goal of the fund, said Marullo, is to have available capital to purchase commercial real estate to help infuse businesses by offering lease-back options to business owners or masters of their craft/trade. In other words, business owners in need of capital can sell their property to investors and then sign a lease to continue working on the premises.
“The demand from investors was overwhelming and I am proud to announce we are overfunded,” said Marullo. “Lease-back real estate structuring can be a great investment for both the developer and the operator. It gives the operator the cash infusion needed while giving the developer a solid return.”
Marullo selected Tim Thompson, head of brokerage for SVN | Urban Properties, as the exclusive broker for the fund. Several local financial institutions have been chosen as strategic partners for the fund’s transactions. The fund will focus on the investment and redevelopment of commercial real estate to serve the hospitality and service-based industries. The fund plans to invest strategically into all four of the state’s major metropolitan areas – New Orleans, Baton Rouge, Shreveport and Lafayette.
“I believe these industries that have been negatively impacted during the pandemic can experience a very aggressive ’V’ shape recovery if capitalized properly,” said Marullo. “Strategic partnerships between developers and operators will greatly boost these industries and help attract talent that may have left due to Covid-19. With the state ending the federal unemployment aid July 31, we hopefully will see a large return to work in these industries that the businesses so desperately need.”
The Louisiana Revitalization Fund is encouraging all hospitality and service-based industry professionals to reach out if they are looking to come home or need a cash infusion in their business through real estate backing.
“Whether you are a talented chef or savvy mechanic, we are asking all operators to reach out and see how the fund can assist you in your respective industry, said Marullo. “How can we collaborate to help kick start these industries.”
