Zara Realty snags $173M to refi Queens portfolio

M&T provided the financing

144-06 88th Avenue in Queens
144-06 88th Avenue in Queens

Zara Realty just landed a $173 million refinancing package for 15 of its buildings in Queens.

M&T Bank provided the loan, which included a $48.2 million gap mortgage, according to documents filed with the city Department of Finance on Tuesday. Zara representatives noted that the company is making a series of long-term investments in its Queens buildings, which include upgrades to the buildings’ heating and cooling systems, new elevators, as well as new kitchens, floors and bathrooms for individual units.

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“We have never sold a building we have purchased in Queens; rather, we put resources into creating long-term, high-quality affordable housing in the communities where we live and work,” the company said in a statement.

Over the last few years, Zara has bulked up its already sizable Queens portfolio. In 2016, the company bought six buildings in Jamaica for $21.5 million from Gowanus-based Lagadakia Realty Corp. A year later, Zara picked up two six-story elevator apartment buildings at 88-22 Parsons Boulevard and 89-21 153rd Street for just under $20 million.

Zara, which is based in Jamaica, was founded in the early 1980s and owns more than 2,000 rental apartments, most of which are in Queens.