HFF Arranges $23M in Construction Financing, Equity for Suburban Community
- Sep 09, 2010
West Goshen, Pa. – The Washington, D.C. and New Jersey offices of HFF (Holliday Fenoglio Fowler, LP) have arranged construction financing and joint venture equity for Jefferson at West Goshen, a to-be-built, 230-unit luxury multi-housing community in West Goshen, Pa.
HFF senior managing directors Bob Donhauser and Bill Asbill and managing director Jim Cadranell worked on behalf of the borrower, Jefferson Apartment Group, to secure the $22.85 million, 36-month construction loan through Wells Fargo’s Real Estate Banking Group. AEW Value Investors II, a value-added real estate fund sponsored by AEW Capital Management, LP, provided joint venture equity for the project.
Due for completion in 2011, Jefferson at West Goshen will be a four-story building with one-, two- and three-bedroom units averaging 1,024 square feet each. Community amenities will include a 5,600-square-foot clubhouse, resident pub room, business center, two-story fitness center, theatre room, swimming pool, grill area and dog park. The property is located on a 12.8-acre site at the intersection of US Route 202 and South Matlack Street, about one mile from downtown West Chester and 25 miles west of downtown Philadelphia.
“Jefferson at West Goshen will be well-received in the market as demand for luxury apartments in this high-employment corridor has been strong, yet the high barriers to entry have limited development of Class A projects,” says Donhauser.
“HFF did an excellent job assisting Jefferson Apartment Group in acquiring debt in a very challenging market. This closing represents one of the first ground-up projects to get started in this market in over three years. This closing says a lot about JAG’s experience and sponsorship; we look forward to closing other loans in the coming months,” says Jim Butz, president and managing partner of Jefferson Apartment Group.
Founded in 2009 through the acquisition of JPI East, the Jefferson Apartment Group’s principals have acquired and/or developed more than 18,000 units with a value of more than $3 billion in 10 states along the East Coast.
Founded in 1981, AEW Capital Management, LP (AEW) provides real estate investment management services to investors worldwide. One of the world’s leading real estate investment advisors, AEW and its affiliates manage approximately $27 billion of capital invested in over $40 billion of property and securities in North America, Europe and Asia as of June 30, 2010.