A mixed-use property on Beekman Avenue in Sleepy Hollow, New York — Courtesy: Procida Funding
By Joshua Burd
A borrower has repaid an $8.75 million loan to Procida Funding after securing long-term financing for an eight-building, mixed-use portfolio in Sleepy Hollow, New York.
The Englewood Cliffs-based lender on Monday detailed the February 2019 loan to Sleepy Hollow Holdings LLC, which used the funds to acquire and renovate a collection of 63 multifamily units and seven ground-floor commercial spaces. Thanks to strong tenant interest, improved units and credible ownership, the borrower recently obtained the new financing to pay off the Procida loan.
“This portfolio is a great example of the transition we have made with our approach to the market over the past four years,” said Kyle Smyth, an asset manager with Procida. “We’ve shifted away from luxury, (central business district) developments to transit-oriented, workforce housing and long-term owner-occupied businesses.
Procida said that, over the course of the 18-month loan, the borrower completed renovations and deferred maintenance to improve the quality of the buildings and lease up vacant units. The portfolio was 94 percent occupied at closing, with the remaining units undergoing minor renovations prior to entering the market for lease.
Smyth added that Sleepy Hollow is a transit-oriented city — with Metro-North rail service less than a half-mile away — that caters to the working class and supports locally owned businesses.
“Affordable rental units combined with reputable sponsors led to a successful project with the Procida team,” Smyth said. “Real estate that allows you to support and do good for the community is one of our keys to success.”
