JERSEY CITY, N.J. — JLL has arranged $13.1 million in construction financing for Vroom Street Apartments, a 42-unit multifamily project that will be located in the Journal Square neighborhood of Jersey City. The property will house five studios, 14 one-bedroom units and 23 two-bedroom units with an average size of 913 square feet. Max Custer and Salvatore Buzzerio of JLL arranged the loan through First Bank on behalf of the developer, Urban Street Properties. Construction is slated for a fall 2025 completion.
HOOVER, ALA. — Greystone has provided a $14.5 million Fannie Mae loan for the refinancing of 700 Riverchase, a 216-unit apartment community located in the Birmingham suburb of Hoover. The non-recourse loan features a five-year term, fixed interest rate, interest-only payments for the full term and a 30-year amortization schedule. Rob Meehan of Greystone originated the financing, and HKS Capital Partners acted as correspondent. The borrower was not disclosed. Built in 1983, 700 Riverchase is a garden-style multifamily community with one-, two- and three-bedroom units. Amenities include a fitness center, laundry facilities, swimming pool, outdoor grill center, dog park, playground and a pickleball court.
SAN ANGELO, TEXAS — BMC Capital has arranged a $1.8 million loan for the cash-out refinancing of an unnamed multifamily property located in the West Texas city of San Angelo. The loan was structured with a 10-year term, a fixed interest rate of 6.59 percent, a 65 percent loan-to-value ratio (LTV) and two years of interest-only payments followed by a 30-year amortization schedule. The borrower and direct lender were also not disclosed.
DECATUR, GA. — Berkadia has arranged a $13 million loan for the acquisition of Arcadia Decatur, a 101-unit apartment community located at 220 N. Arcadia Ave. in Decatur, a northeast suburb of Atlanta. Scott Wadler, Matt Robbins and Abigail Beauchamp of Berkadia secured the five-year, fixed-rate financing on behalf of the borrower, a joint venture between Atlantic Pacific Cos. and Highline Real Estate Capital. Built in 2020, Arcadia Decatur features one- and two-bedroom apartments, as well as a fitness center, outdoor grills, swimming pool and a sundeck.
MIAMI BEACH, FLA. — FM Capital has secured an $11 million bridge loan for the financing of an office building located at 301 Arthur Godfrey Road in Miami Beach. Formerly known as the HSBC Building, the property is now known as the Citizens Bank Building. Noam Temchin of FM Capital originated the interest-only, floating-rate loan through Sheridan Capital on behalf of the undisclosed borrower.
HAMILTON, N.J. — Lincoln Equities Group has received a $60.8 million construction loan for a 420,024-square-foot industrial project that will be located in the Central New Jersey community of Hamilton. The site at 861 Sloan Ave. spans 48 acres and offers proximity to both interstates 95 and 295. Building features will include a clear height of 40 feet, 84 loading docks, two drive-in doors and parking for 556 cars and 81 trailers. John Alascio, Chuck Kohaut, T.J. Sullivan and Jason Blankfein of Cushman & Wakefield arranged the loan through Los Angeles-based PCCP on behalf of Lincoln Equities, which is developing the property in partnership with PGIM. Cushman & Wakefield also previously arranged the sale of the site.
DOWNINGTOWN, PA. — BWE has arranged $45 million in first mortgage financing for Brandywine Square Shopping Center, a 607,999-square-foot retail center located roughly 40 miles outside Philadelphia in Downingtown. Regional grocer Wegmans anchors the center. Other tenants include BJ’s Wholesale, Dick’s Sporting Goods, DSW, PetSmart, Regal Cinema and Best Buy. Kevin Hicks of BWE originated the financing through a life insurance company on behalf of the borrower, Delaware-based development and management firm Allied Properties.
BELMONT, CALIF. — Värde Partners has provided Windy Hill Property Ventures, a firm specializing in real estate development in the Greater Bay Area, with $105 million in construction takeout refinancing for its Artisan Crossing apartment property in the Bay Area city of Belmont. The bridge financing supports the lease-up of the newly developed property. Chris Gandy and Tom Gilliland of JLL arranged the floating-rate loan, which has a three-year initial term with two one-year extension options. The 250-unit community features a fitness center, pool, dog spa, clubroom with rooftop deck, conference room, work pods and underground parking.
SCHILLER PARK, ILL. — Associated Bank has provided a $2.2 million loan for the refinancing of an industrial outdoor storage facility near O’Hare International Airport in Schiller Park. O’Hare Blue Sky Parking leases the property and operates it as an offsite parking facility servicing O’Hare. The asset includes a 16,562-square-foot building. Daniel Barrins of Associated Bank originated the loan on behalf of the borrower, The Missner Group, which acquired the property in February 2023.
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Lee & Associates Second Quarter Report: Industrial, Office Market See Continued Challenges While Retail, Multifamily Trends Follow Region-Specific Patterns
In the first half of 2024, high interest rates led to decreased demand, higher vacancy rates, reduced construction starts and lower property sales in industrial and office, according to Lee & Associates’ 2024 Q2 North America Market Report. Meanwhile, retail saw minimal development and continued low vacancies. Retail rent growth was particularly strong in the South and Southwest. Finally, high demand for multifamily, coupled with a sudden influx of supply in the second quarter of the year, has created a market where outcomes are highly tied to region. Midwest and Northeast multifamily markets have remained stronger than their counterparts in the South and Southwest, while Western markets saw mixed growth. Lee & Associates has made their full market report available here (with complete breakdowns of cap rates by city, market rents, vacancy rates, square footage information and more). The summaries for the industrial, office, retail and multifamily sectors below provide detailed insight into the trends and trajectories likely through the end of 2024. Industrial Overview: Activity, Growth Checked by High Interest Rates Industrial market performance across North America continued to downshift in the first half of this year. Although net absorption remains positive, demand for industrial space has fallen to the lowest levels …