Lendlease Recapitalizes 2 Projects for $200M

The loans are for The Cooper in Chicago and Clippership Wharf in Boston, held through its U.S. investment vehicle with Aware Super.
The Cooper. Photo by Dave Burk Photography

Despite uncertain market conditions sparked by the pandemic, investment and property group Lendlease has closed nearly $200 million in recapitalization loans. The loans are for its development projects The Cooper in Chicago and Clippership Wharf in Boston, held through its U.S. investment vehicle with Aware Super, formerly First Rate Super.

Leveraging its international relationships and expert investment capabilities, Lendlease worked with Japan’s Sumitomo Mitsui Banking Corp. and Singapore’s OCBC Bank to complete the transactions. Two years ago, Lendlease and Aware Super forged a new $2 billion investment partnership to develop and hold multifamily properties in U.S. cities.

A segment of lenders were on hold during the start of the pandemic as they navigated through the risks within their own portfolios,” Ben Byrne, Lendlease portfolio manager, told Multi-Housing News. “Certain domestic and overseas firms continued to lend with continued conviction in the fundamentals of the multifamily asset class, and with the quality of our assets and strength of the sponsorship we were fortunate to receive multiple offers from a broad range of lenders.”

Gateway cities

Bearing an address at 720 S. Wells St., The Cooper is the first residential high-rise to be developed on the Chicago River’s South Bank. The two-year-old, 29-story, LEED Certified Gold building offers 460 units in a mix of studio, one-, two- and three-bedroom apartments. Among features and finishes of units are hardwood floors, island kitchens, Kohler and Grohe fixtures, stainless steel appliances and frameless glass terrazzo showers. A media center-movie theater is among the high-end amenities of the tower.

Built on a 7-acre site at 63 Lewis St. on the waterfront in East Boston, one-year-old Clippership Wharf is a six-story, 264-unit apartment building offering a mix of studio, one-, two- and three-bedroom residences. Features and finishes of the apartments include white quartz countertops, plank flooring, private work-from-home stations, recessed and pendant lighting and gas ranges. Among its prominent amenities is Clippership Woof Dog Park.

The successful delivery of The Cooper and Clippership Wharf precipitated a need on the part of Lendlease to repatriate capital for reinvestment in other multifamily developments in the U.S. gateway cities the company targets via its Aware Super partnership.

In June, Lendlease and L + M Development secured a $250 million construction loan for a Manhattan residential tower.