L+M Development Partners is seeking investment partners for two large multifamily complexes — Savoy Park in Harlem and Lafayette Boynton Apartments in the South Bronx – co-owned by the firm.
The search is part of a recapitalization planned for both complexes, according to marketing materials obtained by The Real Deal.
Savoy Park, formerly known as Delano Village, is a 10.5-acre community holding seven 16-story properties with a total of 1,790 apartments. L+M, TIAA-CREF and Savanna rescued the rent-stabilized buildings, located from 139th Street to 142nd Street between Fifth and Lenox avenues, from foreclosure in a $210 million purchase in 2012. The owners restructured the debt and extensively renovated the complex.
Lafayette Boynton Apartments is a collection of four 19-story, rent-stabilized buildings with a total of 972 apartments in Soundview, with addresses at 825 and 875 Boynton Avenue and 820 and 880 Colgate Avenue. Together, the buildings span about 1 million square feet.
Nelson Management and L+M, which paid $51.5 million for the Bronx apartments in 2011, are planning to construct two additional buildings, at 13 stories, to the site. That project, for which permit applications were filed in July, would add 434 units.
The owners view the properties as long-term investment opportunities, and therefore are not looking to sell, a spokesperson for L&M said. As for Lafayette Boynton, investors are sought for the existing buildings, not the ones in the pipeline, the spokesperson said.
A Savills Studley team led by Jeffrey Baker is representing the owners of both complexes as they seek partners.
Last year, a group of Savoy Park tenants sued the owners for allegedly overbilling them in violation of a 2011 order to reduce rents by a state agency. The tenants were refunded about $250,000.
Adam Pincus contributed reporting.