Dealmaker: Greystone Provides $98M for East Harlem Affordable Complex

(Image courtesy of Greystone)

Greystone, New York, provided a $97.6 million HUD-insured loan to refinance a multifamily property in East Harlem, N.Y.

The financing was originated by Senior Managing Director Eric Rosenstock and Executive Vice President Jeff Englund of Greystone on behalf of Metropolitan Realty Group.

The Villa Hermosa Apartments include 272 units across three mid-rise buildings. The units are restricted to 50% area median income and supported by long-term Section 8 project-based rental assistance.

The HUD-insured Section 223(f) non-recourse financing features a 35-year term and amortization and a fixed interest rate.

In addition to refinancing, the loan proceeds will be used to complete substantial in-unit renovations and building improvements. The property is covered by a new 20-year HAP contract that was executed in conjunction with the approval of a Mark-Up-to-Market.  

“This financing preserves an important affordable asset in one of Manhattan’s most supply-constrained neighborhoods,” said Rosenstock. “Our HUD execution allowed us to structure long-term, stable financing that supports the sponsor’s mission of maintaining high-quality affordable housing while investing meaningfully into the property’s future.”