【ARCFE Blog】 ARCFE Group 14 Union Project Top Off Ceremony

The ARCFE Group 14 Union Project (also officially known as Union Center) top off ceremony was recently held in Flushing, NY, marking a significant construction milestone for this prominent commercial development. As a landmark office project located in the heart of Flushing’s core business district, Union Center’s successful topping off signals the project’s entry into a critical phase of development and underscores its steady execution. The event was attended by local property owners, investors, and industry professionals. 

As key financing partners, ARCFE and iCross Capital delivered a featured presentation. Ms. Lily Guo, Founder and CEO of ARCFE and iCross Capital, shared her insights from the perspective of a private, non-bank lender. She systematically reviewed the project’s capital support structure during construction and explained the rationale behind Union Center’s long-term value.

ARCFE Group 14 consists of two real estate development projects located in prime locations of NYC. Davis (officially known as Terra) is a luxury mixed-use residential building in Long Island City. The building has been completed, obtained TCO and have successfully been in operation with 100% unit fully leased out. Union (officially known as Union Center) is a class A office building located in downtown Flushing. I-956F for Group 14 has been approved and multiple investors have also successfully obtained their conditional green cards.

The Most Direct Endorsement of the Project

During the construction phase, ARCFE and iCross Capital provided approximately $62M in senior construction financing.

This financing was structured as a first lien senior loan, funded jointly by ARCFE Group 14 EB-5 capital and iCross private equity funds, with both sources entering the capital stack at the same senior loan position. This financing supported the project throughout the entire construction timeline. 

From a capital structure perspective, total project debt represents approximately 42.9% of the project’s total valuation with all debt positioned at the senior level. This conservative leverage profile reflects a disciplined approach to risk management and capital preservation forming a solid foundation for the project’s steady progress.

At the ceremony, representatives from Union Center’s developer, Lions Group, acknowledged the successful completion of this milestone and expressed appreciation for the support received from financing partners and stakeholders. Lions Group noted that Union Center has established a strong construction base and a clear development trajectory, and expressed confidence in the project’s long-term performance within Flushing’s core commercial district.

A Shared Value for Both Lenders & Buyers

When discussing Union Center’s long-term value, Ms. Lily Guo emphasized:

“For lenders and buyers alike, the core factors we focus on are highly aligned - whether the property has long-term value.”

From a professional lender’s perspective, Flushing offers multiple long-term fundamental advantages:

• As one of NYC’s core commercial hubs, Flushing maintains consistently strong and resilient business demand;

• Ongoing population concentration and service-sector density support long-term utilization of retail and office space;

• The advancement of major commercial and entertainment developments in the area is expected to further enhance foot traffic and economic activity;

• Union Center is located within a federally designated Opportunity Zone, offering potential tax-related benefits at the ownership and investment-structuring level.

These combined factors contributed to the participation of diversified institutional capital during the construction phase and have positioned Union Center as a highly regarded commercial asset in the local market.

From Flushing to LIC: A Consistent Investment Selection Strategy

Ms. Guo further outlined the consistent criteria applied by ARCFE and iCross Capital in evaluating projects, including:

• Prime locations within walking distance of major subway lines;

• Commuting access to Manhattan within approximately 30 minutes;

• Established neighborhoods characterized by high population density, concentrated wealth, and active transaction volume;

• Core urban submarkets with demonstrated long-term growth fundamentals.

Guided by these principles, ARCFE and iCross Capital have continued to participate in the financing and management of real estate projects across New York City, applying a uniform analytical framework across various asset classes.

The Role of Senior Loans in Real Estate & Their Importance for EB-5 Investors

In real estate financing a senior loan refers to a debt position that holds priority over all other forms of project-level financing. Senior loans are generally secured by a first-priority lien on the underlying real estate and are entitled to repayment prior to subordinate debt or equity interests, subject to the terms of applicable loan documents.

Within the EB-5 offerings, a senior loan structure is used to align investor capital with a conservative position in the project’s capital stack. Key structural features include:

• Priority position: Senior loans are entitled to repayment before subordinated debt and equity investors, subject to the terms of the loan documents. 

• Collateral support: Senior loans are generally secured by a first-priority mortgage or deed of trust on the project property.

• Defined leverage: Senior loan amounts are underwritten based on appraised value, construction progress, and market conditions at the time of underwriting.

• Ongoing oversight: Senior lenders typically require regular reporting and maintain oversight throughout construction and stabilization.

Leading EB-5 Regional Center with 10+ Years of Experience in NYC Real Estate Financing

ARCFE is a USCIS-designated EB-5 Regional Center with more than a decade of experience in both real estate financing and the EB-5 industry. To date, ARCFE has successfully raised over $211M in EB-5 capital across 19 successful EB-5 projects, achieving a 100% project approval rate and a 100% EB-5 capital repayment record. These accomplishments position ARCFE as a leading EB-5 Regional Center in New York City.

ARCFE is a subsidiary of iCross Capital, a trusted private lender specializing in residential and mixed-use real estate development financing throughout the Tri-State area. iCross Capital is committed to delivering low-risk, stable, and high-performing fixed-income investment solutions for global high-net-worth clients. Aside from the EB-5 projects managed through ARCFE, iCross Capital has successfully financed more than 60 real estate developments across the greater New York metropolitan area.

Backed by a team with extensive hands-on expertise across both real estate development in NYC and EB-5 immigration, ARCFE brings a fully integrated approach to structuring and managing EB-5 investments. This dual-track experience enables ARCFE to proactively identify and mitigate risk at every stage from project selection and capital deployment to immigration compliance and exit strategy execution. As a result, ARCFE is confident in delivering well-structured and low-risk EB-5 projects that prioritize capital preservation, high success rate, and a clear, reliable pathway for investors seeking U.S. permanent residency.

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