New York Affordable Portfolio Secures $120M Loan

Three Harlem communities will be renovated with financing arranged by Walker & Dunlop.

Rendering of the rehabilitated Thurgood Marshall Plaza. Image courtesy of Walker & Dunlop

A three-building, fully affordable portfolio in Manhattan, N.Y.’s Harlem neighborhood landed $120 million in financing, to be used for the rehabilitation of the properties. Walker & Dunlop‘s John Gilmore arranged the loan.

The New York City Housing Authority, Dantes Partners, the New York Housing Development Corp., Walker & Dunlop, JP Morgan Chase and Freddie Mac provided the financing. The portfolio comprises Bethune Gardens, Audubon Houses and Thurgood Marshall Plaza, totaling 557 affordable units.

For the overhauls, Dantes Partners attained a 99-year ground lease from NYCHA through the Permanent Affordability Commitment Together program, which leverages HUD’s Rental Assistance Demonstration program. A total of 555 units are supported by project-based rental assistance from HUD’s RAD programs, long-term project-based HAP contracts and Section 18 programs.

The properties will receive both interior and exterior renovations, including upgrades to the bathrooms, kitchens, windows and flooring, as well as to the elevators and heating and cooling systems.

Fully affordable properties

Thurgood Marshall Plaza is located at 1970 Amsterdam Ave. and is part of the Washington Heights submarket, according to Yardi Matrix data. Built in 1986, the 13-story property encompasses studio and one-bedroom apartments, ranging between 490 and 689 square feet. Two subway stations are within a 0.4-mile radius of the building. Located at 1945 Amsterdam Ave., the 22-story Bethune Gardens was constructed in 1966 on a 2-acre site. Both communities are fully affordable and age-restricted.

Located at 1909 Amsterdam Ave., Audubon Houses comprises one-, two-, three- and four-bedroom units ranging between 490 and 1,011 square feet. The community features controlled access, a playground, parking spaces and laundry facilities.

Walker & Dunlop and Dantes Partners are members of CREUnited, an alliance created to increase minority participation in the commercial real estate industry. In 2021, Walker & Dunlop originated over $10 billion of affordable and workforce housing financing through Fannie Mae, HUD, capital markets sources and Freddie Mac.

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