The Real Deal New York

Brookfield, Urban American land $714.7M to refi Putnam multifamily portfolio

As of October, owners were considering selling the properties
By Kathryn Brenzel | July 11, 2017 08:35AM

River Crossing and Brookfield’s Ric Clark

UPDATED July 11, 2017, 11:25 a.m.: Brookfield Property Partners and Urban American Management just scored $714.7 million to refinance part of their massive Putnam multifamily portfolio in Upper Manhattan.

Wells Fargo provided a $198.6 million loan for River Crossing, a 761-unit apartment complex at 1940 First Avenue, documents filed with the city’s Department of Finance on Monday show. The financing replaces a former $159.2 million loan on the properties from the Bank of China.

The companies also received $244 million from Wells Fargo for 3333 Broadway, a five-building complex with 1,193 rental units. That loan replaces a previous one for $180 million from New York Community Bank and consolidates a new loan for $74.5 million. Wells Fargo also issued a $179.9 million loan for the Heritage, two buildings with 600 units at 1295 and 1309 Fifth Avenue. The bank also provided $9.8 million for the Parker at 1890 Lexington Avenue and $81 million for the Miles at 1990 Lexington Avenue.

The Real Deal reported in October that Brookfield and Urban American were considering selling the portfolio, which consists of 3,962 apartments across 24 buildings. At the time, sources told TRD that the properties are worth between $1.5 and $1.6 billion.

The six apartment complexes include Roosevelt Landings on Roosevelt Island and 1660 Madison Avenue.

Representatives for Brookfield could not immediately be reached for more information on the status of marketing the buildings.

Brookfield purchased a majority stake in the portfolio from Urban American in 2014 for $1.04 billion. Urban American, which purchased the properties along with other investors in 2007 for $938 million, retained a small stake in the portfolio and stayed on as property manager.

(To view more of Brookfield Property Partners’ commercial sales transactions, click here)