Chicago & Midwest + Greater Chicagoland + Finance | June 21, 2022

D2 Capital Advisors arranged financing for the adaptive reuse of two former schools in Aurora, IL that will be converted to apartments

D2 Capital Lines Up Financing on Aurora Adaptive Reuse

Joint venture Fox Valley Apartments LP has secured $18,200,000 in construction financing for Fox Valley Apartments, a 47-unit affordable housing redevelopment in Aurora, IL. The financing was arranged by D2 Capital Advisors’ Jack Cortese and David Frankel.

The redevelopment encompasses the adaptive reuse of two vacant historic school sites: the former Mary A. Todd School and Lincoln Elementary School. D2 sourced a construction lender who was able to bridge both the 9% Low Income Housing Tax Credit equity and the Historic Tax Credit equity while also providing fixed-rate construction to permanent financing.

“We garnered a lot of interest for this deal and provided a one-lender solution that allowed for maximum flexibility on the exit,” said Cortese. “We also locked in the rate at term sheet execution, which proved to be extremely valuable given the current rate environment and the time that it took all parties to get closed.”

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About Paul Bubny

Paul Bubny serves as Senior Content Director for Connect Commercial Real Estate, a role to which he brings 13-plus years’ experience covering the commercial real estate industry and 30-plus years in business-to-business journalism. In this capacity, he oversees daily operations while also reporting on both local/regional markets and national trends, covering individual transactions across all property types, as well as delving into broader subject matter. He produces 15-20 daily news stories per day and works with the Connect team and clients to develop longer-form content, ranging from Q&As to thought-leadership pieces. Prior to joining Connect, Paul was Managing Editor for both Real Estate Forum and GlobeSt.com at American Lawyer Media, where he oversaw operations at both publications while also producing daily news and feature-length articles. His tenure in B2B publishing stretches back into the print era, and he has served as Editor in Chief on four national trade publications. Since 1999, Paul has volunteered as the newsletter editor of passenger rail advocacy groups (one national, one local).

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