$109M in Financing Closes for Affordable Housing Complex in Brooklyn
- Apr 18, 2008
A financing package totaling $109 million has been put in place for Linden Plaza, a 1,527-unit affordable housing complex in Brooklyn. Red Stone Partners orchestrated the deal on behalf of The DeMatteis Organization, which plans to use the funds to rehabilitate and preserve the 36-year-old property.Developed in 1972 the Linden Plaza complex encompasses four 17-story structures, a single 18-story tower, six townhouse complexes and four parking facilities. Working with Wachovia Multifamily Capital and Freddie Mac, Red Stone facilitated $74 million in tax-exempt bonds from the New York City Housing Development Corp. Additionally, Red Stone secured $35 million in tax credit equity from a single investor.The financing for Linden Plaza takes New York City Mayor Michael Bloomberg’s $7.5 billion New Housing Marketplace Plan for the development and preservation of 165,000 affordable housing residences another step closer to fruition. HDC has been doing its part to help achieve the 10-year program’s goals. Last May the organization signed off on $56.5 million in financing for two mixed-income projects in the Bronx and one in Harlem for a total of 281 new units, more than half of which will be reserved as low-income and affordable housing. And in February of last year, AvalonBay Communities broke ground on the 296-unit Avalon Morningside Park in Manhattan with the assistance of $100 million in tax-exempt bonds through an HDC program that will guarantee that 20 percent of the apartments be designated as affordable housing units.