Camber Property Group has purchased the nine-building Salem Lafayette Apartment portfolio for $21.5 million – the Manhattan-based firm’s first acquisition in New Jersey.
The 74-unit, 100 percent project-based Section 8 portfolio includes 21, 25, 27, 31 and 33 Monticello Avenue; 4 and 8 Madison Avenue; and 834 and 838 Grand Street. As part of the purchase Camber will preserve and extend the portfolio’s affordability for an additional 20 years and implement a comprehensive capital improvement plan for the properties.
“We are thrilled to bring our commitment to creating and preserving high-quality affordable homes to Jersey City,” said Rick Gropper, Principal of Camber Property Group.
“Affordable housing is in critical demand in Jersey City and across northern New Jersey, and we look forward to bringing our innovative, hands-on approach to development and ownership to bear in this new market.”
The capital stack of the transaction consists of debt financing for the project originated by Walker & Dunlop on behalf of Fannie Mae together with a sizable equity investment.
As part of the acquisition, Camber will address immediate capital needs to preserve the buildings for the long term, implement a preventative maintenance plan and create new shared amenities within the buildings.
The portfolio consists of 36 one-bedroom apartments, 23 two-bedroom apartments, 4 three-bedroom apartments, 8 four-bedroom apartments and 3 five-bedroom apartments.
The Salem Lafayette Apartments portfolio is located in the Bergen-Lafayette neighborhood of Jersey City.
Though new to the New Jersey market, Camber Property Group has been in the affordable housing market in New York City for years.
This summer the firm opened The Strand, a 132 unit a mixed-income development located in the heart of Ridgewood, Queens; completed 134 affordable units for seniors at Victory Plaza in Central Harlem and another 200 units of affordable housing in The Bronx known as Tiffany Street Apartments.
Camber is currently rehabilitating more than 1,000 affordable units at two major Bronx developments, Baychester and West Farms, and recently closed on a portfolio of 384 affordable housing units across eight buildings in Flatbush, Brooklyn.