Dealmaker: Barings Multifamily Capital Secures $29M for Adaptive Reuse Property

Barings Multifamily Capital LLC, Princeton, N.J., financed a $28.9 million Freddie Mac Lease Up loan for Laidlaw Lofts, a 95-unit apartment community in Jersey City, N.J.

The seven-year loan included two years of interest-only payments. “We provided our client the ability to lock rate and fund prior to stabilization,” said Barings Multifamily Capital Senior Managing Director John Motzel.

Laidlaw Lofts is an adaptive reuse of the R.H.H. Steel Laundry building. R.H.H. Steel Laundry–which began operations in 1859–provided laundry and linen services to cruise liners and U.S. Navy ships through the 1970s. reported that in 2015 Green Realty LLC started converting the industrial asset into a residential property by reusing the existing three-story warehouse and adding additional three stories of modern loft apartments.

The building at 136 Oakland Avenue includes 47 one-bedroom units, 43 two-bedroom units and five three-bedroom units. Construction was completed in December. It also has nearly 15,000 square feet of common areas including a courtyard garden and roof deck with New York City and Hudson River views.

Barings Multifamily Capital said Freddie Mac Lease Up loans are intended for well-constructed properties exhibiting strong lease-up trends in good locations and markets. Stabilization is expected within 12 months of funding.