New York & Tri-State CRE News In Your Inbox.
Sign up for Connect emails to stay informed with CRE stories that are 150 words or less.
Merchants Capital Arranges $41M Refi on Harlem Rentals
Merchants Capital secured $40.9 million in refinancing for The Tapestry, a 12-story gateway residential building in Harlem. The mortgage banking company worked on behalf of Jonathan Rose Companies and Lettire Construction Corporation.
The financing has two components: a $35.4-million Freddie Mac Credit Enhancement, and a $5.5-million cash loan.
Located at 245 E. 124th St., the Tapestry was originally financed in 2008 through a combination of Freddie Mac credit-enhanced, variable-rate and tax-exempt private activity bonds, Low Income Housing Tax Credits, and additional subsidized mortgage financing through the New York City Housing Development Corporation (HDC) and the New York City Department of Housing Preservation and Development.
This transaction effectively changes the underlying HDC variable-rate bonds to fixed-rate bonds. Additionally, a cash tail component was incorporated.
“This deal’s successful execution represents opportunities on multiple fronts for Merchants Capital, Jonathan Rose, Freddie Mac and HDC,” said Merchants Capital Vice Chairman Mathew Wambua.
For comments, questions or concerns, please contact Paul Bubny
- ◦Financing
