L+M Lands $53M Refinance for East Village Mixed-Use Development
By Mack Burke October 3, 2019 12:00 pm
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Wells Fargo (WFC) has invested in $52.8 million worth of New York State Housing & Community Renewal bonds to fund the refinancing of L+M Development’s mixed-use rental asset, Niko East Village, Commercial Observer has learned.
This permanent financing came through a direct bond purchase from Wells Fargo. The project’s construction financing from 2016 came via HCR issued tax-exempt and taxable housing revenue bonds that were purchased by TD Bank, according to information from L+M.
“We are grateful to have worked with our public and financial partners to secure permanent financing for The Niko East Village,” L+M project manager Isaac Alshihabi said in a prepared statement. “The East Village is a diverse community of thinkers, creators and doers, and the Niko fits right in. [It’s] an exceptional mixed-income development with sweeping views and contemporary amenities.”
The 12-story, 110-unit rental building—at 751 East 6th Street, between Avenues C and D—comprises 114,422 square feet, was completed last year and is fully leased, according to information from L+M.
The property—designed by GF55—features a landscaped rooftop overlooking Lower Manhattan, with views of Midtown and the East River, and it includes cabana seating and a barbeque area. The second floor has a resident lounge area and a fitness center, with an outdoor terrace. A Rite Aid pharmacy leases just over 13,000 square feet of retail space on the ground floor, according to information from PropertyShark.
“Wells Fargo is committed to helping improve access to affordable housing in areas where there are the biggest needs, including New York City, and we are pleased to help refinance The Niko, an impressive building providing affordable and market-rate housing for the residents of the East Village,” Wells Fargo director Justin Shackleford said in prepared remarks.
The asset comprises studio, one-, two- and three-bedroom units. Of its 110 units, 28 are reserved as affordable—at 40, 60 and 130 percent of the area’s median income—while the remaining 82 residences are market-rate. Some of the units also have private terraces.
