Greystone has arranged a $35 million funding package for New Rochelle developer Young Companies’ new mixed-use development on the town’s North Avenue.
The finance company arranged a $14 million ground lease provided by Haven Capital and a $21 million leasehold construction loan from RMWC to finance the development of the The Illustrator, a four-story development with 75 apartments and 7,300 s/f of commercial space at 600 North Avenue in New Rochelle.
The Greystone Capital Advisors team led by Drew Fletcher and Matt Klauer served as exclusive advisor in arranging the financing on behalf of the Sponsor.
Young Companies’ CEO, Robert Young, is a lifetime resident of New Rochelle and one of the area’s leading developers of high-quality multifamily housing.
The Illustrator is directly across the street from The Young Companies’ The Rockwell, the 114-unit property with 25,000 s/f of retail that the developer completed at the end of 2020. Together, the projects will provide more than 200 residential units and revitalize the corridor along North Avenue between the MetroNorth stop and the college district.
“We are proud to have worked with Young Companies, Haven, and RMWC to deliver a creative full-stack debt solution that provides 90 percent loan-to-cost non-recourse financing during a challenging economic environment. The Illustrator will raise the bar for urban living in New Rochelle,” said Klauer.
“Greystone Capital Advisors delivered a fantastic execution, and we are very happy to have launched a relationship with Haven and RMWC,” said Young. “This complex execution required careful collaboration and I’m delighted with the results. The Illustrator is a significant addition to our portfolio and will further the continued development of New Rochelle.”
“It was a pleasure working with Greystone, Young Companies, and RMWC to use our Haven ground lease structure to maximize funding proceeds at the lowest possible cost,” said Joe Shanley, Head of Acquisitions, Haven Capital.
Marc Brooks, managing director of RMWC, shared, “RMWC is pleased to bring its flexible construction financing capabilities to this exciting project. We look forward to working with The Young Companies, a sponsor with deep roots in the New Rochelle market. We are also grateful to have completed our first closing with Greystone, who brought together a complicated capital structure and enjoyed working closely with Haven Capital throughout the closing process.”