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National Penn, Capmark back Philly builders in Baltimore deal

Development loans have been drying up, but

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of Boyertown and

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(formerly GMAC Commercial) of Horsham recently joined forces to bankroll a $48 million, tax break-aided rehab of Baltimore’s landmark 13-story B&O Building by Philadelphia developers

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and

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.

How rare is that? “If you want to develop a piece of real estate -- where there might have been $100 available to build with last winter, there’s maybe $5 today,” said Matthew McManus, chairman of

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, the Philadelphia real estate investment bank that arranged the B&O loans.

National Penn replaced a Baltimore-area lender that got cold feet at the last minute, according to McManus. The bank real estate team, headed by Joseph C. Walker, “did a phenomenal job. They came in and in one week they understood, committed and funded this project,” McManus said.

ARCWheeler plans a boutique hotel and fancy restaurants at the B&O, said ARCWheeler principal Hal Wheeler, in announcing the deal financing Feb. 21.

McManus also arranged funding for Philadelphia developer Bart Blatstein’s last big project, a $70 million investment in Temple student housing and stores at Avenue North, by labor union-owned

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’s real estate equity fund. As an equity fund, Amalgamated is immune to the tough credit market that has made national banks and hedge funds loan-shy, McMaus said.