Parkview Towers at 5001 Park Ave. in West New York — Courtesy: LIHC Investment Group
By Joshua Burd
The owner of a 688-unit apartment complex in West New York has closed on a $140 million loan that will allow it to operate the property as affordable housing for another four decades.
The owner, LIHC Investment Group, announced the refinancing for Parkview Towers under the Federal Housing Administration’s Section 223(f) loan program. Rockport Mortgage Corp. is providing the financing for the two 24-story towers, which are located at 5001 Park Ave.
In announcing the transaction, LIHC and Rockport said the complex is covered by a Project-Based Section 8 contract that limits how much tenants contribute to rent to 30 percent of adjusted gross income. As part of the loan refinancing, LIHC has agreed to enter into a new 20-year contract under the Mark-up-to-Market Section 8 program, which will ensure the property remains affordable to very low- and low-income families for another 39 years.
“Parkview Towers is the largest and likely the most important affordable housing resource in West New York,” said John Dromey, senior vice president and deputy chief underwriter of Rockport. “Parkview is an exceptional property in a great location. This loan transaction will allow the property to remain an important affordable housing resource long-term.”
The refinancing also enables the owners to undertake a property-wide renovation valued at more than $8.4 million, according to a news release. In-unit upgrades will include new kitchen cabinets with granite countertops, new ranges, refrigerators and faucets, along with new bathroom vanities with medicine cabinets, floor tiling and tub surrounds.
The landlord will also make modifications to increase the number of accessible units at the property from 25 to 35, the news release said. Demand for homes at Parkview remains high, with occupancies averaging over 98 percent during the past three years.
“We are pleased to partner with Rockport on this major refinancing effort and to commit Parkview Towers to 39 more years of deep affordability under Section 8,” said Andrew Gendron, a principal with LIHC Investment Group. “This year we’ve extended affordability protections for 1,790 units across six properties in New York and New Jersey, providing much-needed peace of mind for vulnerable adults and families, particularly in today’s environment.”
LIHC highlighted the property’s access to public transportation, including the Port Imperial ferry terminal. Parkview Towers also includes laundry, on-site parking and a community room for tenants use.
“As the first Section 8 housing built in New Jersey, we take great pride in maintaining Parkview Towers as a place that people are proud to call home,” said Lisa D’Alessandro, president of Parkview Management Corp. and daughter of James Canino, the property’s original owner and developer. “Ahead of its time in many ways, Parkview has long stood as a source of high-quality, amenity-rich, subsidized housing, and it’s always meant much more to me than just an investment. I’m pleased to continue my father’s legacy by extending protections for another 39 years so Parkview will continue to serve our tight-knit West New York community.”