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News release

New York

Financing Green Lights Luxury Bronx Multifamily Product

JLL secures $22.1 million in construction financing for 329 East 132nd Street


NEW YORK, August 11, 2016 – Institutional capital is flocking to New York’s outer boroughs as pent up demand for multifamily product drives the construction pipeline. On behalf of JCal Development and Altmark Group, JLL’sCapital Markets experts today announced the firm secured $22.1 million in construction financing for 329 East 132nd Street in the city’s Mott Haven section of the Bronx. First Niagara Bank provided the loan. The financing will be used to develop the first Class A multifamily asset in the Mott Haven submarket.


Senior Vice President Jonathan Schwartz and Vice President Adam Schwartz led the JLL team on the deal.

 

“The Mott Haven submarket is an untapped market for luxury rental product such as 329 East 132nd,” said Jonathan Schwartz. “We anticipate construction lending to continue for such high-end product as strong sponsors and investors look to fulfil heavy demand in a borough that has less than 3 percent vacancy.”

 

Added Adam Schwartz, “The financing of 329 East 132nd shows that there is still room for construction starts in this market as select areas present institutional investors the opportunity to gain entry into burgeoning luxury markets.”

 

The Mott Haven neighborhood offers tenants a growing array of cultural and dining options, and is served by the 4,5,6 and 2 trains, which contribute to the area’s burgeoning live, work, play lifestyle. The proposed building will include 91 units, indoor parking, a fitness center and a roof terrace.

 

“As investors in the Port Morris / Mott Haven area since the late 1960's, we are excited to develop one of the first large-scale market rate residential development on the South Bronx waterfront,” said Adi Altmark, Partner at the Altmark Group. “With the impending shutdown of the L train in Brooklyn and continued price appreciation of rental apartments across Brooklyn, Queens, and Manhattan, we are poised to deliver a high end product at an attractive price point for residents at 329 East 132nd Street.”

Altmark continued, “We are pleased that our partners at First Niagara Bank and JCal Development believe in this market as much as we do, and we look forward to working with them and other partners in the future as we continue to develop the balance of our portfolio.”

 

Primarily a developer of affordable housing, JCal Development is also completing a 58-unit development at 950 Summit avenue and will soon be starting on a 75-unit project with a FRESH supermarket at 2395 Frederick Douglass Boulevard. The firm also recently completed mixed-use developments at 55 Bruckner Boulevard and 136 Alexander Avenue, and is nearing completion at 131-135 Alexander Avenue.

 

JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm’s in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether a sale, financing, repositioning, advisory or recapitalization execution. In 2015 alone, JLL Capital Markets completed $140 billion in investment sale and debt and equity transactions globally. The firm’s Capital Markets team comprises more than 2,000 specialists, operating all over the globe.

 

For more news, please visit The Investor, an online and mobile app news source providing real-time commercial real estate news to asset buyers and sellers around the world.

For more news, videos and research resources on JLL, please visit the firm’s U.S. media center Web page:http://bit.ly/18P2tkv.

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About JLL

 

JLL (NYSE: JLL) is a professional services and investment management firm offering specialized real estate services to clients seeking increased value by owning, occupying and investing in real estate. A Fortune 500 company with annual fee revenue of $5.2 billion and gross revenue of $6.0 billion, JLL has more than 280 corporate offices, operates in more than 80 countries and has a global workforce of more than 60,000. On behalf of its clients, the firm provides management and real estate outsourcing services for a property portfolio of 4.0 billion square feet, or 372 million square meters, and completed $138 billion in sales, acquisitions and finance transactions in 2015. Its investment management business, LaSalle Investment Management, has $59.1 billion of real estate assets under management. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visitwww.jll.com.