The Walker & Dunlop team, led by Chris Rumul, arranged the financing via HUD's 223(f) program for Standard Communities. Walker & Dunlop reports the loan not only provides acquisition financing, but will also allow Standard Communities to make immediate repairs and fund future renovations. In conjunction with the purchase, Standard Communities preserved the existing 151 affordable housing units by renewing the property's 20-year Section 8 HAP Contract and obtaining a 35-year Article XI tax abatement approval through the New York City Department of Housing Preservation & Development.

“This HUD transaction was unusual because it involved an acquisition, the negotiation of multiple different tax agreements, and coordination with several state and local government authorities,” Rumul says. “The team's efficient, diligent underwriting focus and management of the HAP and tax abatement timelines ensured the success of this deal.”

Standard Communities' co-founder, Scott Alter, adds “Acquiring and preserving this unique and well-located property as affordable housing when it was at-risk of converting to a market rate property was important to us. We are glad that all parties were able to support the creative structure used to ensure these apartments remain affordable for years to come.”

The acquisition of Polyclinic Apartments back in October marked the sixth property the firm has acquired in the previous six months that preserved a total of 1,025 affordable housing units.

NEW YORK CITY—Standard Communities has closed on a nearly $94-million loan structured by Walker & Dunlop Inc. that will preserve 151 affordable housing units at the Section 8 property Polyclinic Apartments here.

Bethesda, MD-based Walker & Dunlop reports it structured the $93,925,200 loan with the U.S. Department of Housing and Urban Development for the Hell's Kitchen property.

This past October, Standard Communities, a division of Standard Property Co., acquired Polyclinic Apartments from Starrett Corp. for $110.5 million. Polyclinic Apartments, located on West 50th Street, between 9th and 8th avenues, was originally constructed in 1910 and a large addition was developed at the property in 1930.

Formerly operated as a hospital, the building underwent a complete renovation and conversion to multifamily apartments in 1981, when it was first awarded a Section 8 HAP contract. The community has maintained an average occupancy of 99.4% over the past three years and maintains a waiting list exceeding 180 potential tenants.

The Walker & Dunlop team, led by Chris Rumul, arranged the financing via HUD's 223(f) program for Standard Communities. Walker & Dunlop reports the loan not only provides acquisition financing, but will also allow Standard Communities to make immediate repairs and fund future renovations. In conjunction with the purchase, Standard Communities preserved the existing 151 affordable housing units by renewing the property's 20-year Section 8 HAP Contract and obtaining a 35-year Article XI tax abatement approval through the New York City Department of Housing Preservation & Development.

“This HUD transaction was unusual because it involved an acquisition, the negotiation of multiple different tax agreements, and coordination with several state and local government authorities,” Rumul says. “The team's efficient, diligent underwriting focus and management of the HAP and tax abatement timelines ensured the success of this deal.”

Standard Communities' co-founder, Scott Alter, adds “Acquiring and preserving this unique and well-located property as affordable housing when it was at-risk of converting to a market rate property was important to us. We are glad that all parties were able to support the creative structure used to ensure these apartments remain affordable for years to come.”

The acquisition of Polyclinic Apartments back in October marked the sixth property the firm has acquired in the previous six months that preserved a total of 1,025 affordable housing units.