8-20-21

O wners , D evelopers & M anagers

M id A tlantic Real Estate Journal — August 20 - September 16, 2021 — Section C

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SVP's Keenan and Lupo achieve record price for 101 Units & 10,000 s/f of commercial space Kislak sells Merriam Gateway Apartments in Newton, New Jersey for $22.58 Million

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of the seller, MerriamGateway Apartments, Inc., with senior vice president JosephKeenan handling the assignment. Senior vice p r e s i d e n t Justin Lupo procured the pur chas e r , The Cobblers Lo f t , LLC, which is an affiliate of Blue Diamond Equi - ties, LLC. The sale of Merriam Gate- way Apartments is the largest multifamily sale ever in Sussex County based on data available from CoStar . The property is a historic four-story elevator building. It was a once a shoe factory that was converted into an apart- ment building. The residential unit mix includes eight studios, three studios with lofts, 75 one-bedroom apartments and 15 two-bedroom apartments. Amenities include on-site park- ing and laundry facilities. Following closing, the prop- erty was renamed The Cobbler NEWARK, NJ — Hud- son Valley Property Group (Hudson Valley) joined by partners New Jersey Hous- ing and Mortgage Finance Agency (NJHMFA) , the De- partment of Housing and Urban Development (HUD), Fannie Mae , and the City of Newark,to celebrate the completion of the $90M redevel- opment of Pilgrim Baptist Vil - lage (PBV) Apartments, with $22M in renovations. Located in downtown Newark in the Central Ward, the project pro- vided extensive renovations to 305 units of affordable housing and preserved long-term afford- ability for residents. “We are thrilled to celebrate the transformation of Pilgrim Baptist Village, providing re - freshed apartments, new ame- nities, and continued afford- ability for residents of Newark,” said Jason Bordainick , CEO and co-founder of Hudson Val - Justin Lupo

in northwestern New Jersey. While cap rate compression continues across the state, the opportunity to acquire larger assets in more tertiary mar- kets is becoming increasingly attractive. The purchaser will benefit greatly from the changing rental landscape in Newton given the ThorLabs campus and the thousands of new jobs it is attracting.” The property is conveniently located one mile from down- town Newton and all of its commercial and retail offer- ings. Newton is also the county seat of Sussex County, which is approximately 60 miles west of New York City. At the time of closing, the property was 95%+ occupied. The seller’s attorney was Joanne Sarubbi o f Bourne, Noll & Kenyon , and the purchaser’s attorney was Neil Fink of Fink & Zelma- novitz PC . The purchaser’s financing was arranged by Walker & Dunlop through Nate Hyman of Polaris Funding . MAREJ been long, but agency staff and our development and commu- nity partners worked hard and creatively, ultimately complet- ing a transformation that will have a meaningful, long-term impact for the residents and the community.” Located on Bergen St. and Avon Ave., the complex is made up of two clusters of project- based Section 8 family housing buildings – PBV I offering 153 apartments and PBV II offer - ing 152. The acquisition was financed through a 4% low-income hous- ing tax credits, NJHMFAbonds, and Fannie Mae debt through Key Bank. Tax credit equity was provided by PNC Real Estate . The property receives subsidy through a long-term HUD project-based Section 8 HAP contract. The City of Newark supported the project with a new 30-year PILOT Agreement. MAREJ

EWTON, NJ — The Kislak Company, Inc. announced the

recent sale M e r r i a m G a t e w a y Apartments, amultifamily propertywith 101 units and 10,000 s/f of commercial space, at 69-

Joseph Keenan

HI-LIGHTS August 20 - Sept. 16, 2021 SPOTLIGHTS Architects/Engineers 75 Sparta Ave. in Newton, Sussex County for $22,580,000. Kislakmarketed the property on an exclusive basis on behalf

Merriam Gateway Apartments

Lofts. “The offering garnered a tremendous amount of inter- est from investors since it is rare that a 100+ unit prop- erty under an hour from New York City not subject to rent control becomes available,” said Keenan. “This was a true valued add opportunity as the rents are on average 25% below market in an ideal loca- tion. The property sits across

from the world headquarters of and adjacent to the future campus of Thorlabs, which is adding approximately 4,000 new employees to the area. The purchaser was quick to capital - ize on these benefits and in the midst of the pandemic, a deal was made.” Lupo commented, “This sale is an excellent example of the strong investor demand for income producing properties

Hudson Valley Property Group & Partners complete $22M redevelopment of Pilgrim Baptist Village Apartments

Richard Gacek Gacek Design Group

M. Alexis Herr, PE ECS Mid-Atlantic

Shown from left: Christopher Shilling, Anna Perez, Alexandra Cole- man, Malcom Rolling, Deputy Mayor Allison Ladd, Councilwoman McIver, Suliman Onque, his wife, Andy Cavaluzzi, Jason Bordainick, and John Murray

Joe Massott AKF Group

Kevin Phillips Landmark Science & Engineering

ley Property Group. “This proj- ect was successful and possible because of the collaboration of the community. We are thank- ful to the City of Newark, local elected officials, our financial partners, and residents for their support in the preserva- tion of this critical housing and broader work to uplift the community as a whole.” “The renovation of Pilgrim

Baptist Village Apartments represents a strong case study for the preservation of es- sential affordable housing by transforming a challenged property into a modern, safe, and welcoming home for those who will reside in it,” said Melanie Walter , executive director, New Jersey Housing and Mortgage Finance Agency. “The road to revitalization has

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ALSO INSIDE

Casey Murphy, NCIDQ, HF Planners ...........................2C Kristin Fee, CPA, Withum ......4C People on the Move ............16C

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