The Bassuk Organization has arranged $210 million in credit for the construction on a new apartment tower at 160 madison Avenue.
Richard Bassuk, president of The Bassuk Organization, and co-chairman and chief executive officer of Greystone Bassuk Group, announced the closing of the credit enhancement from Helaba Landesbank Hessen-Thüringen and PNC Bank, National Association under
The New York State Housing Finance Agency (HFA) 80/20 Program for an affiliate of J.D. Carlisle Development Corp.
The financing was structured with $111,445,000 of Series A low floater tax-exempt bonds and $30,000,000 of Series B taxable bonds issued by HFA in 2013, with the remaining $68,555,000 of tax-exempt bonds to be issued in 2014.
Proceeds from the bonds will be used to finance construction of Carlisle’s 319-unit 80/20 residential project known as 160 Madison Avenue.
The project is located on Madison Avenue between 32nd and 33rd Streets, and contains approximately 29,100 s/f of retail space. 80 percent of the residential units, or 265 units, will be market rate apartments.
The remaining 20 percent of the residential units, or 64 units, will be designated affordable housing units with 52 units rented to tenants whose household incomes are at or below 50 percent of the New York City Area Median Income (AMI), and 12 units rented to tenants whose household incomes are at or below 40% of AMI.
“Financing 80/20 projects is highly labor intensive and takes specialized knowledge. Demand and opportunity for these developments in New York City continues to grow because of additional benefits, including the 20-year real estate tax abatement available under this program,ˮ said Bassuk.
“To provide the necessary services, we have in-house specialists fully experienced with such complex projects. TBO acts as the developer’s Owner Representative for the entire 80/20 process and provides owners/developers with the highest level of service available in the industry.”
Evelyn Savino worked with Richard Bassuk to close the transaction.