HOBOKEN, NJ-Meridian Capital Group, LLC has arranged $33 million in permanent financing for 1401 Hudson St., a recently constructed luxury apartment building in Hoboken, NJ on behalf of Ironstate Holdings LLC, GlobeSt.com has learned exclusively.
The seven-year loan, provided by a local savings bank, features a rate of 4.12%. Multiple lenders were interested in the project, Meridian finance advisor David Cohen tells GlobeSt.com.
“This is a beautiful property,” says Cohen, who with finance advisor Russ Drebin, negotiated the deal. “Ultimately, we felt comfortable going with this route. We were confident we would provide certainty of execution.”
The loan was structured with a flexible prepayment penalty to allow the sponsor the comfort of long-term financing with the flexibility to take advantage of projected increased cash flow in the future.
The 13-story multifamily building has 93 luxury units. It is part of The Shipyard Community, a six-building planned unit development (PUD) that is the conversion of the Bethlehem Steel shipbuilding facility. Rents at the Shipyard range from $1,860 monthly for a studio to $5,800 per month for a three-bedroom unit.
“It’s been completely redeveloped,” Cohen says. And multifamily should remain an attractive investment going forward, he adds.
“There is pent-up capital by lenders,” Cohen says. “[Multifamily] stayed strong during the down cycle, and it continues to be strong.”
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