Love Funding, one of the nation’s leading providers of FHA multifamily, affordable and healthcare financing, announced the closing of $75.3 million in loans to refinance Parkview Towers and Clock Tower Apartments, two affordable apartment communities under the same ownership team in New Jersey.
Parkview Towers is a 688-unit development in West New York, New Jersey. It houses 684 Section 8 apartments and four market-rate units in two 24-story apartment buildings originally built in 1974. Clock Tower Apartments, located in Hoboken, is a six-story apartment building last renovated in 1976. Of the 173 units, 90 are market-rate, 68 receive project-based Section 8 rental assistance, and 14 are special voucher units.
Parkview Towers is owned by Parkview Towers, L.L.C. and Clock Towers Apartments is owned by Jefferson-Adams Rehab Company, L.P. The two ownership entities share principals.
The financing was secured by Love Funding Senior Director Laura Saull-Smith through the U.S. Department of Housing and Urban Development’s 223(a)(7) loan insurance program, which allows up to 12 years to be added to an existing HUD mortgage’s remaining term. The HUD program provided the ownership team with low-rate, non-recourse financing to refinance the existing debt and lower the debt service on the loan, providing more than $500,000 in annual savings.
A significant factor in generating the cost savings was how quickly the loans moved through the New York HUB office of HUD; both transactions were processed in about 30 days. “Love Funding did a great job on the transaction,” said Charlie Gendron, president of Low Income Housing and a principal involved with both properties. “Laura was instrumental in getting the transaction to close so fast, including switching the closing from Newark to New York, a phenomenal feat that saved us a lot of money.”
Both properties are managed by Parkview Management Corporation, which has specialized in multi-family hi-rise affordable communities for more than 40 years. “Love Funding has been a pleasure to work with,” said Parkview Management President Lisa J. D’Alessandro. “Laura and her team were able to able to bring us to a close effectively and efficiently.”
For more information, contact Laura Saull-Smith at 202-887-1851 or visit www.lovefunding.com.