Manatus Refis New Bronx Community Center Project With $38M Barclays Loan
The office and community facility was built to serve as the new flagship location for health and human services nonprofit Samaritan Daytop Village
Manatus Development Group has secured $38 million in debt from Barclays to refinance the new South Bronx headquarters of health and human services nonprofit Samaritan Daytop Village, Commercial Observer has learned.
The 10-year, fixed-rate, and interest-only loan took out $24 million in existing construction debt from TD Bank that was supplied towards the end of 2019 to build the six-story, 84,000-square-foot office building and community center, according to information from HKS Real Estate Advisors, the firm that arranged the refinance.
HKS Associate Director Max Ralby handled the arrangement and negotiation of the refinance, after previously spearheading the initial construction loan for the ground-up project at 356-362 East 148th Street in Mott Haven on behalf of Manatus and Park-It Management in 2019.
Manatus was able to retire the existing construction debt and obtain its temporary certificate of occupancy (TCO) in just 21 months from the time the loan closed, despite COVID-19’s impact on the real estate industry and construction efforts. The developer had initially planned to secure a TCO in the first quarter of 2021, after breaking ground in the fall 2019, Ralby previously told CO.
“This transaction was heavily competed on by the lending community and is a true testament to the quality of the sponsorship and project,” Ralby said. “Manatus did a fantastic job on delivering an exceptional product for its tenant, and it is sure to have a lasting impact within the neighborhood and greater community.”
Samaritan Daytop Village, a nonprofit that provides such services as substance abuse and mental health treatments and counseling, will occupy the entire property, which will serve as its new, primary opioid treatment center, according to previous information on the project from the nonprofit and Manatus. Samaritan will be housed in 64,000 square feet, while 12,000 square feet has been dedicated to a parking garage; there is also a roughly 2,300-square-foot flex space that is still vacant, according to Ralby.
The development — named the Richard Pruss Wellness Center — includes a small intake area for processing clients and patients, as well as reserved space for the many support services provided by Samaritan, such as primary care and dental care, as well as individual and group counseling and therapy. Samaritan has fashioned the project, which was designed by New York-based architect GF55 Partners, as a “one-stop shop” for behavioral and primary health care in the area, according to its website.
“Samaritan Daytop Village’s new Richard Pruss Wellness Center will bring critical health and human services to a medically underserved community in the Bronx,” Manatus Development Principal Justin Stern said. “I’m extremely proud of my team for building this new, purpose-built facility during the difficult and challenging COVID-19 pandemic.”
Samaritan President and CEO Mitchell Netburn said the project was an “ambitious undertaking” and lauded Manatus for its work in making it a reality.
“Construction continued during the pandemic, making it possible for us to schedule a grand opening this fall,” he added. “There is such a great need for this type of offering in the Bronx. The landmark development will bring the Mott Haven community a go-to resource for top-quality, behavioral health and primary care services. We envision this fully integrated center will become a keystone offering among Samaritan Daytop Village’s portfolio of services.”
Mack Burke can be reached at firstname.lastname@example.org.