New Queens Mixed-Use Building Gets $61M Annaly Refi
By Matt Grossman December 26, 2019 1:02 pm
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Piermont Properties has picked up a $61 million refinancing on its new Q-East mixed-use property in eastern Queens, Commercial Observer can exclusively report.
The loan is from Annaly Capital, according to sources with knowledge of the transaction. The three-year, floating-rate debt carries an interest-only payment structure and will be used to cash out a portion of Piermont’s equity investment in the building, at 178-02 Hillside Avenue in Queens’ Jamaica Estates neighborhood.
Completed earlier this year, the structure combines 131 apartments with 25,000 square feet of medical office space and a 10,000-square-foot storefront that was pre-leased to CVS during the property’s development. The store is already open for business, according to CVS’ website.
The apartments, which range from studios to two-bedroom units, come pre-equipped with niceties like cloud-based climate control and built-in media systems. Building amenities include a courtyard, a dog park and valet parking. Studios start at $1,925 per month, per the building’s website, while the least expensive two-bedroom unit goes for $2,875.
The eight-story building was designed by Chris Carrano of ADG Architecture and Design, according to New York YIMBY.
Brokers with Meridian Capital Group, including Adam Hakim, Andrew Iadeluca and James Murad, arranged the financing with Annaly, which has provided debt on a slew of middle-market deals both in New York City and around the country in the second half of the year. Hakim said that the new property is boosted by its location near the crossroads of important neighborhoods for Queens’ development.
“Q-East is a perfect example of the transformation eastern Queens has seen in recent years,” Hakim said in a statement. “178-02 Hillside Avenue benefits from the established residential neighborhood of Jamaica Estates to the north, with the retail and transit-oriented convenience of downtown Jamaica to the south and west. The location attracts a great mix of tenants who are both empty nesters and young professionals.”
Piermont is evidently bullish on the area, too: It filed permits over the summer to start construction on a second residential project in the neighborhood, several blocks east at 188-11 Hillside Avenue. That slightly smaller structure would have 93 apartments and a slightly smaller parking garage, under the proposed design, by EDI International architect Victor Mirontschuk.
Executives at Annaly and Piermont didn’t immediately respond to inquiries.
