$19M for Brooklyn midrise
Berkadia announced $19.6 million in financing for 240 Meeker, a mid-rise multifamily property in Brooklyn.
Senior managing director Stewart Campbell, of the firm’s Manhattan office, secured the financing on behalf 240 Meeker Avenue Corporation.
The 10-year, permanent Fannie Mae loan features a 4.37 percent fixed interest rate and six years of interest-only payments. “The new loan financing provided a great long-term rate while maximizing proceeds and property cash flow with 72 months of interest-only payments,” said Campbell.
Located at 240 Meeker Ave., the 46-unit post-war property features one- and two-bedroom floor plans with terraces or balconies in every unit.
The building has a roof deck, laundry and on-site parking.
● HOULIHAN PARNES
Local bank funds $30M Westchester acquisition loan
Houlihan Parnes tapped a local bank for an acquisition loan on their purchase of two Westchester office properties.
The firm’s Andrew Greenspan and James J. Houlihan placed an acquisition loan and credit facility totaling $30,500,000 on 555-565 Taxter Road, Elmsford.
Houlihan said the properties were acquired as defaulted debt and through a foreclosure process.
Located within Taxter Corporate Park, the properties were once owned by Keystone Property Group, which had purchased them as part of a $230 million portfolio deal with Mack-Cali in 2014, according to Westfair Online.
555-565 Taxter contains a total of 371,224 rentable square feet, which will be managed and leased by GHP Office Realty, the Houlihan Parnes affiliate.
The properties are located two miles from the entrance of the Gov. Mario M. Cuomo Bridge and Saw Mill River and Sprain Brook Parkways.
The interest only loan was placed with a local bank at an interest rate of 4.625 percent for an interim term.
The loan features a $7 million line of credit to fund building capital improvements and Tenant improvement. The loan has a renewal option and flexible pre-pay schedule.
The borrower was represented by Elizabeth Smith of Goldberg Weprin Finkel Goldstein, LLP, as attorney.
● MADISON REALTY CAPITAL
$30M redirect at GEM Hotel
Madison Realty Capital (MRC) closed $30.5 million of financing collateralized by the GEM Hotel, a luxury boutique hotel located at 300 West 22nd Street in Chelsea.
The funds refinance previous debt and support Icon Realty Management’s business plan to reposition the hotel with an expanded marketing strategy and updated branding, coupled with strategic capital improvements to the property.
“This deal provided MRC with the opportunity to refinance a successful and established hospitality asset with strong sponsorship and a new business plan aimed at making it even more competitive in the local market,” said Josh Zegen, Co-Founder and Managing Principal of MRC.
The GEM Hotel is a five-story, 30,948 GSF four-star, luxury hotel that was constructed originally in 1912 as a residential property, and converted to hospitality use by the sponsor in 2007.
According to MRC, Icon Realty plans to increase revenue by implementing an aggressive marketing strategy across internet booking channels, corporate accounts, along with a branding overhaul. A new capital improvement plan will also include room upgrades, lobby improvements and façade work.
JLL’s Aaron Appel brokered the financing.
● DWIGHT CAPITAL
Greenback for green buildings
Dwight Capital closed on two green loans for apartment properties in Nevada and North Carolina.
Dwight secured a $31 million loan on Tesora Apartments, a 231-unit complex in Las Vegas.
Built in 2004, the project was able to obtain the Energy Star for Existing Buildings Certification with an Energy Star score of 96, thereby qualifying for HUD’s reduced Green MIP program.
Dwight also secured a $41.17 million loan on the 270-unit Preserve at Ballantyne Commons in NC. That non-recourse fixed rate loan had a 35-year term with a flexible step-down prepayment schedule.
“This was a big closing for Dwight Capital,” said managing director, Brandon Baksh.
“We were able to achieve the National Green Building Standard certification despite the project needing a significant amount of capex to get there. We were able to use the necessary repairs to increase the appraised value of the project and our underwritten NOI.
“This is the type of renovation HUD had envisioned with the green program and we are glad we are able to achieve a win-win for both the borrower and HUD.”
● ARBOR REALTY TRUST
$38M to stay competitive
Arbor Realty Trust funded a Fannie Mae DUS loan in Norcross, GA.
Fields at Peachtree Corners, a 490-unit multifamily property, received $38.6 million on a 12-year fixed rate term with a six-year interest only period, and a 30-year amortization schedule.
Stephen York, of Arbor’s New York City office, originated the loan. “We were pleased to provide aggressive high-leverage financing, along with an attractive rate and maximum I/O, for our client,” said York.
“The property was recently renovated thanks to a $3 million capital improvement plan. The new sponsors are planning continued renovations for more than 100 units and exterior enhancements to boost curb appeal. This will help the property remain well situated in the highly competitive Peachtree Corners submarket.”