KeyBank Provides $64M Loan for Affordable NJ Asset

The refinancing will also help rehabilitate Grace West Manor, a 429-unit Newark community built in 1978. The property serves individuals aged 62 and over.
Grace West Manor Apartments
Grace West Manor Apartments

KeyBank Real Estate Capital has provided $64 million through FHA’s 223(f) insurance program to refinance and rehabilitate Grace West Manor Apartments in Newark, N.J. The state’s Housing and Mortgage Finance Agency provided the LIHTC funding. According to Yardi Matrix data, Jonathan Rose Cos. owns the senior housing property, which traded in 2013 for $48.5 million.

Located at 301 Irvine Turner Blvd., the 1978-built is near several parks and provides easy access to the junction between interstates 78 and 95. Grace West Manor serves individuals aged 62 and over, and includes studios as well as one- to four-bedroom units, ranging from 400 to 1,200 square feet. The community encompasses a 12-story building and 21 two-story garden-style buildings. Amenities include a community room, laundry facilities and 280 parking spaces.  

Ed Foulon of KeyBank’s Commercial Mortgage Group arranged the fixed-rate financing with a 35-year amortization schedule for the project-based Section 8 property. Recently, KeyBank Real Estate Capital and KeyBank Community Development Lending & Investment also arranged three loans totaling $98.4 million for the acquisition and rehabilitation of Garden Spires and Spruce Spires in Newark.

Image courtesy of Yardi Matrix