The Essex at 78-102 Washington Ave. in Bellville — Courtesy: CBRE
By Joshua Burd
The new owner of a 158-unit luxury apartment building in Belleville has closed on $35.5 million in permanent financing for the asset, brokers with CBRE announced Monday.
According to a news release, Freddie Mac provided the debt in connection with what’s known as The Essex at 78-102 Washington Ave. The deal comes by way of a program that specifically supports new multifamily buildings entering the later stages of lease-up, the brokerage team said, adding that the undisclosed borrower also has a so-called borrow-up provision that allows it to leverage the cashflow upon stabilization to access additional proceeds with the first mortgage pricing within the first 24 months of initial loan origination.
CBRE’s Judah Hammer, Jeff Feldman and Jack Hayes arranged the financing on the borrower’s behalf.
“We began to engage with our client regarding permanent financing when the property was still 50 percent occupied to hit the road running and secure the best terms possible,” said Hammer, an executive vice president in CBRE’s New York office. “We worked closely with Freddie Mac in obtaining a seven-year loan with the benefit of four years interest only with an excellent fixed rate of 4.92 percent. We are thrilled we were able to bring this deal home, providing a win for all parties.”
The firm announced the deal while noting that The Essex is a four-story rental property with two ground-floor retail units. Aside from upscale apartments, residents have access to amenities such as a full-service fitness center with a yoga room, a rooftop courtyard with grilling stations and a fire pit, a resident lounge, a game room and coworking pods, among others, as well as indoor garage parking with electric vehicle charging stations.
