The Related Cos., in partnership with New York City pension funds, secured $77 million in financing from New York Community Bank for the acquisition of a 20-building Bronx portfolio.
In the largest deal to change hands in the borough last year, Related and the pension funds purchased the portfolio for $112.5 million from Eastern Capital Partners, a group of private Brooklyn Heights-based investors, in December, as The Real Deal reported.
The portfolio contains 737 apartments spread throughout the North, West and South Bronx, and Related and the city pension funds intend to preserve the units in the long term as workforce housing. The buildings — largely low-rise walkups with rent-stabilized units — are in a mix of working class and middle-class neighborhoods such as Soundview, Wakefield, High Bridge and Fordham.
The financing includes a $26.1 million loan modification and extension, which includes the unpaid principal of the first mortgage of $13.4 million and a new one of almost $12.8 million, according to the New York Observer.
Related, the development giant behind the Hudson Yards megaproject, has upped its multifamily moves. In 2014, Related and the city pension funds acquired 35 rental buildings from Stanley Wasserman’s SW Management for $270 million. [NYO] — Dusica Sue Malesevic