The Montgomery Paulus Hook at 100 Montgomery St. in Jersey City — Courtesy: LIHC Investment Group/L+M Fund Management
By Joshua Burd
A joint venture has secured nearly $53 million in federally backed financing to renovate and update a 308-unit mixed-income property in Jersey City.
According to a news release, Rockport Mortgage Corp. provided the debt to LIHC Investment Group and L+M Fund Management in connection with The Montgomery Paulus Hook at 100 Montgomery St. The $52.9 million refinancing loan, made under the Federal Housing Administration’s Section 223(f) program, will allow the borrowers to pay off existing debt, fund replacement reserves and complete additional quality-of-life upgrades and repairs at the property that began in 2018.
Notably, more than half of the rentals at The Montgomery are set aside for residents earning no more than 80 percent of the area median income, the news release said. Another 66 units are currently occupied by Section 8 voucher holders.
“With this financing in place, The Montgomery will help keep good homes within reach for families of all income levels while allowing ownership to undertake improvements that will benefit the property and those who live there for decades to come,” said Andrew Gendron, a principal with LIHC Investment Group. “We are grateful for the continued partnership from LMFM and Rockport and acknowledge our colleagues at HUD for making this refinancing possible.”
The news release noted that, since starting the upgrades in 2018, ownership has replaced exterior windows, installed new heat exchangers and completed water heater replacements and elevator repairs. In-unit upgrades have continued during unit turnover, while additional improvements to the property will include the replacement of fan-coil units in each of the 308 apartments, extensive common area renovations including a new fitness center and yoga room and a new resident lounge.
“This critical project not only shores up affordable housing in a highly sought-after New Jersey community for future generations, but it also delivers needed improvements to ensure a high quality of life for every resident,” said Joe Weishaar, a senior vice president with L+M Fund Management. “Together with our partners, we look forward to starting work on this major overhaul.”
Developed in 1973 under Section 236 of the of the National Housing Act, The Montgomery is part of a vibrant neighborhood in downtown Jersey City that offers sweeping views of the Manhattan skyline. The waterfront neighborhood provides residents with an array of restaurants, shopping and mass transportation options.
“We are pleased to once again work with all of the parties involved to make this refinancing a success,” said Dan Lyons, managing partner of Rockport Mortgage. “The Jersey City waterfront rental market continues to expand. This refinancing allows the owners to extend the useful life of the property, improve the quality of life for residents and ensure the sustainability of safe, affordable housing in the community.”
