Berkadia announced Wednesday it has arranged a $40 million loan for the refinancing of an apartment complex in New Milford.
Charles Foschini, senior managing director of the firm’s South Florida office, and Christopher Apone, managing director, arranged the loan on behalf of Bal Bay Realty.
“As competition in the lending market increases, we were able to secure a refinance loan that offered a compelling structure to the borrower, taking advantage of the substantial debt capital in the marketplace,” Foschini said.
Voya Investment Management originated the loan for Brookchester Apartments, including a 15-year term with a loan-to-value ratio of 35 percent.
At the time of the refinancing, occupancy at the 752-unit multifamily community was 98.27 percent, Berkadia said.
“Built in 1948, Brookchester Apartments is located at 915A River Road, New Milford, New Jersey, in the New York-northern New Jersey-Long Island MSA,” Berkadia said in a release. “Situated about 20 minutes away from New York City, the multifamily asset also offers close proximity to educational, shopping and medical centers, including Farleigh Dickinson University, The Outlets at Bergen Town Center and Holy Name Medical Center.”
Brookchester Apartments is comprised of studios, one- and two-bedroom units throughout 47 two-story buildings.
“Utilizing the strength of our correspondent relationship with Voya and taking advantage of a flat yield curve, we were able to structure a fixed rate loan with a very aggressive interest rate on a long term basis which will provide the borrower with exceptional cash flow for years to come,” Apone said.
Berkadia is a joint-venture of Berkshire Hathaway and Leucadia National Corp.