Philadelphia Multifamily Wrap-Up – November 2020
- Dec 02, 2020
Philadelphia renters saw some relief in November as the Municipal Court decided to halt most evictions until the end of the year. The metro’s multifamily activity kept going at a slow albeit steady pace, following the national trend toward slight improvement. On the development front, a luxury community broke ground in suburban Philly, adding to the more than 12,000 units already under construction, according to Yardi Matrix. Read our November list of Philadelphia must-knows:
1. FINANCING – Harbor Group refinances Philly-area assets in $513 million deal.
Capital One provided the borrower with Freddie Mac financing for a six-property portfolio including the 570-unit Racquet Club in Levittown, the 442-unit New Orleans Park in Secane and the 244-unit Ridley Brook in Folsom, according to Yardi Matrix. HGI acquired the assets in 2017 from Lone Star Funds, in an unrecorded portfolio transaction comprising 24 properties across seven states. The Philly-area communities encompass 33 residential buildings developed between 1950 and 1973.
2. DEVELOPMENT – Luxury community underway in Conshohocken.
Trammell Crow Co.’s High Street Residential partnered with MetLife for the construction of the high-end Matson Mill, according to Philadelphia Business Journal. Hord Coplan Macht provided architecture services and IMC Construction is the general contractor of the $60 million project. The five-story building will rise at 101 Washington St. on a 6-acre lot adjacent to the SEPTA Regional Rail station. The unit mix is set to include studio, one and two-bedroom floorplans. Completion is slated for the second quarter of 2022.
3. DEVELOPMENT – Nonprofits to develop affordable housing on 240 city-owned lots.
The Philadelphia Housing Authority set aside vacant and abandoned parcels northeast of Center City, according to the Philadelphia Inquirer. All properties will be transferred to nonprofit groups such as HACE, Esperanza and the Norris Square Community Alliance, for a nominal fee. As a requirement, all resulting homes must be affordable to residents earning 80 percent or below the area’s median income. Additionally, the communities must remain affordable for at least 20 years.
4. PEOPLE – Lument adds managing director to proprietary capital team.
Eric Baum will be responsible for originating, underwriting and closing bridge loans for multifamily and commercial properties in preparation for permanent financing through Fannie Mae, Freddie Mac and HUD/FHA. He will report to Vic Clark, senior managing director and head of conventional multifamily production. A professional with more than 20 years of industry experience, Baum joined Lument from Resource Real Estate Funding/Exantas Real Estate Funding, where he also served as managing director.