The Mural at 606 Freeman St. in Orange is a collection of 103 studio, one-bedroom and two-bedroom apartments. — Rendering courtesy: Reynolds Asset Management
By Joshua Burd
Reynolds Asset Management has closed on a $30.5 million loan to refinance a new 103-unit apartment building in Orange, the developer announced Tuesday.
In a news release, the firm said the transaction provides it with permanent debt as it moves into the next phase of management for The Mural at 606 Freeman St. JLL’s Thomas E. Didio Jr. and Max Custer brokered the Fannie Mae-anchored loan, which has a five-year term, while the firm worked alongside Pensam’s Ray Cleeman to provide preferred equity.
The deal follows Reynolds’ successful lease-up of the property, which opened last May.
“We are immensely proud of our work at The Mural, from inception to the grand opening,” said Matthew Earl, chief operating officer of Reynolds Asset Management. “This successful refinancing, with improved conditions from our previous loan, allows us to continue supporting the residents and this thriving community while enhancing the long-term value of the property.”
Located in Orange’s Valley Arts District, The Mural has a mix of upscale studio, one-bedroom and two-bedroom units in a location that’s two blocks from NJ Transit’s Highland Avenue train station. Residents have access to a covered parking garage and amenities such as a rooftop lounge with a grill area, a fitness facility and a lounge, while they’re within walking distance of several restaurants and shops.
Last January, Reynolds announced that it had secured a $28.5 million bridge-to-perm construction loan, providing its team with the flexibility to complete the lease-up and obtain permanent financing with stabilization. The JLL capital markets team also sourced that loan.
“The successful arrangement of this $30.5 million financing package for The Mural demonstrates the strength of the multifamily market in Orange and the wider Essex County area,” Didio Jr. said. “This newly built luxury apartment community is well-positioned to meet the growing demand for high-quality rental housing in this vibrant suburban market with easy access to New York City.”
The project has also redeveloped the former site of the Orange Valley Hardware store, Reynolds added, noting that the lobby’s custom artwork by nationally exhibited artist Dan Fenelon pays tribute to the site’s history and the Orange Valley Arts District.
“We are pleased to have partnered on the refinancing of The Mural, helping Reynolds Asset Management secure the incremental capital required to complete the transaction,” said Cleeman, head of capital markets and lending at Pensam. “This partnership reflects both our focus on creating programmatic lending relationships with innovative multifamily sponsors, and our commitment to delivering flexible and innovative capital solutions that empower our partners to achieve their strategic goals while maximizing the value of their investments.”
Reynolds secures $29 million bridge-to-perm loan for 103-unit Orange rental project