Kriss Capital has originated a $32 million construction loan to finance the conversion of a vacant 381-key hotel located in Farmington, Connecticut, into a 225-unit market-rate apartment community.
The loan was provided to an affiliate of CSRE Group, a New Jersey-based investor and manager of multifamily properties whose portfolio includes more than 3,500 units along the East Coast.
The two-year, floating-rate loan will allow CSRE to redevelop and reposition the former Hartford Marriott Farmington hotel, located at 15 Farm Springs Road, approximately 10 miles southwest of Hartford, into a fully-modernized multifamily community containing a mix of studios, one-,two-and three-bedroom apartments.
The renovated property will contain 512 parking spaces and feature best-in-class amenities, including indoor and outdoor pools, fitness center, co-working and outdoor dining areas and electric vehicle charging stations.
Apartments will contain in-unit washers and dryers, brand-new kitchens with stainless steel appliances and granite countertops, and bathrooms with integrated bathtub-showers.
The property is located near the University of Connecticut-affiliated UConn Health Center with over 5,000 employees, as well as Raytheon Technologies, Otis Elevator, Carrier Corp. and ConnectiCare.
“We are excited to close our first transaction with CSRE Group and look forward to growing our relationship,” said Kriss Capital founder Jody Kriss. “CSRE has a proven record of achievement renovating and repositioning multifamily properties in Hartford and the surrounding area.
“We expect this newly-renovated property will attract significant attention and demand, given there has been virtually no new housing stock delivered in Farmington within the past few years and there is no multifamily product currently under construction or in the development pipeline.”
Meridian Capital Group’s Tom Wayda and Russ Drebin arranged the financing.