A rendering of Meridia Brownstones at 1900 Elizabeth Ave. in Rahway
By Joshua Burd
Capodagli Property Co. has secured a $30 million construction loan for a new 172-unit apartment project in Rahway, in a transaction arranged by Avison Young.
The real estate services firm said it brokered the financing on behalf of Capodagli, which is set to begin the Meridia Brownstones development at 1900 Elizabeth Ave. The construction will mark the first phase of a 487-unit project.
George Gnad, principal in Avison Young’s debt and equity capital markets group, brokered the loan on behalf of the sponsor.
“This is a beautifully designed and well-located multifamily development and we’re pleased to broker a financing solution to help Capodagli Property Company with its initial construction of the project,” Gnad said. “There is strong interest in this neighborhood among residential tenants and a new offering such as this is poised to take advantage of that market demand.
“Avison Young tapped into its extensive roster of lender contacts to create a customized loan package that allowed the borrower to proceed with phase one of their long-term development strategy and we look forward to seeing its completion.”
Plans for Meridia Brownstones include a large walking courtyard with extensive landscaping, trellis and fire pits and a large, elevated patio overlooking the courtyard. Amenities will include an indoor pool and jacuzzi, sauna, fitness center and community rooms, among other features.
Executives with Capodagli, a Linden-based firm that has developed more than 1,000 apartments in the region, credited Rahway’s interim mayor and other city officials for working together to support the vision of growing redevelopment.
“It was a pleasure to work with George Gnad and the Avison Young team,” said Ankit Duggal, executive vice president with Capodagli. “George and his team have a deep connectivity into the debt market which proved to be the difference in securing a construction loan tailored to our requirements.”
