The Vibe at 17-19 West Main St. in Bound Brook — Courtesy: Reynolds Asset Management
By Joshua Burd
Reynolds Asset Management has refinanced a new 28-unit luxury apartment building in Bound Brook, securing a Fannie Mae loan for more than $6.7 million through Walker & Dunlop.
According to the developer, the long-term debt replaces construction financing for what’s known as The Vibe at 17-19 West Main St. It also follows a successful lease-up and stabilization of the project, one of several new rental buildings in the Somerset County borough.
The Fannie Mae loan, totaling $6.738 million, was issued with a 10-year term and a rate of 5.835 percent, Reynolds and Walker & Dunlop said, adding that they were able to secure full-term interest-only payment terms for the life of the loan. The arrangement provides ample flexibility for the property’s ongoing operations and financial management, they said.
“We are delighted to have successfully secured long-term financing with favorable terms for The Vibe, especially while operating in a challenging capital market for many borrowers,” said Lou Reynolds, CEO and founder of Reynolds Asset Management. “This refinancing deal not only strengthens the financial stability of the property but also empowers us to pursue new growth opportunities and deliver exceptional value to our investors and tenants.”
In announcing the deal, Reynolds noted that The Vibe houses a mix of 12 one-bedroom and 16 two-bedroom apartments. The upscale rentals are blocks from the Bound Brook train station, providing residents with direct access to New York City, while it’s also home to the roughly 500-square-foot WeMa Gallery art gallery, named for its location on West Main Street.
“Having closed multiple successful Fannie Man loans with the Reynolds team, makes collaborating with Reynolds on this refinancing endeavor for The Vibe even more exciting,” Walker & Dunlop’s Allan Edelson said. “Their dedication to developing projects that uplift the local community and provide exceptional value makes us proud to be part of their journey. The refinancing of The Vibe is yet another testament to Reynolds’ unwavering commitment to creating thriving spaces that benefit both investors and the surrounding community.”
