ACRES Originates $31.5M Construction Loan for Multifamily Property in Yonkers, NYSEPTEMBER 02, 2021
YONKERS, N.Y. – (August 31, 2021) – ACRES Capital Corp. (together with its subsidiaries, “ACRES”), a leading commercial real estate middle-market lender, has originated a $31.5 million loan to fund the construction and stabilization of 56 Prospect Street, a nearly 79,000-square-foot multifamily property located in Yonkers, New York in Westchester County. The loan is provided to Melville, New York-based sponsor Regency Apartment Ventures, LLC, and carries an initial term of 30 months.
“We are thrilled to finance this new multifamily project in Yonkers’ Central Business District in the Getty Square neighborhood, which is currently seeing a large amount of redevelopment,” said ACRES Chief Executive Officer and President Mark Fogel. “Yonkers contains an incredibly diverse population and a large number of young professionals seeking more affordable alternatives to New York City’s boroughs. We have an optimistic outlook on residential and commercial growth in the area, and believe 56 Prospect Street will become an attractive option for residents looking for quality housing.”
Once complete, 56 Prospect Street will be seven stories tall, consist of 126 units and 130 parking spaces. Amenities will include a courtyard; roof deck; full, modern appliance package; high-end finishes; and private balconies for select units. Construction is planned to be completed by July 2023.
Ben Heitner, Managing Partner of Regency Apartment Ventures, LLC, said, “We are excited to partner once again with the ACRES team, who provided us with a creative financing solution to allow us to execute our business plan for the property. We look forward to leveraging our local market expertise to ensure 56 Prospect Street’s success, and to working with ACRES on additional projects in the future.”
Westchester County, once considered mainly a suburban location primarily for New York City commuters, has evolved over the past several years to become a diverse employment center featuring Fortune 500 companies such as IBM and Morgan Stanley. Yonkers, the fourth-largest city in New York State and the biggest in Westchester County, is easily accessible via the Interstate highway and parkway systems as well as mass transit. Central Park Avenue (Route 100), which extends north from the Bronx border and through Yonkers, the Town of Greenburgh and the City of White Plains, is one of the most sought-after retail corridors in the county with more than 2.5 million square feet of retail development.
Andrew Milbank, Director of Finance & Capital Markets at Berko & Associates, arranged the loan, and the deal was originated by Marty Reasoner of ACRES’ New York office.