NYCB Provides $77 Million in Financing to Related for Bronx Portfolio
By David Jones February 12, 2016 1:24 pm
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New York Community Bank provided $77 million in financing to Related Companies, backed by a major portfolio of residential apartments in the Bronx, Commercial Observer has learned
Related, one of the city’s top developers, partnered with a group of New York City pension funds to buy the portfolio of 726 units in 20 buildings for $112.5 million in late December.
The acquisition is part of a venture that Related has with the city pension funds to buy properties and preserve them as workforce housing, sources familiar with the deal confirmed.
The properties include 1065 Jerome Avenue, 2543, 2549, 2553, 2559, 2563 and 2567 Decatur Avenue, and 2608 Creston Avenue.
The financing package includes a $26.1 loan modification and extension, according to documents filed with the New York City Department of Finance. The loan includes the unpaid principal of a first mortgage of $13.4 million and a new mortgage of almost $12.8 million, according to DOF filings.
Meridian Capital Group‘s Abe Hirsch, senior managing director, Zev Karpel, managing director and Akiva Friend, vice president, arranged the financing.
NYCB officials did not return requests for comment.
