Centerline Capital Group Refinances Seven-Property Multifamily Portfolio on Long Island
— Total funding equals approximately $61.4 million —
New York, NY —January 21, 2013 — Centerline Capital Group (“Centerline”), a provider of real estate financial and asset management services for affordable and conventional multifamily housing, and a subsidiary of Centerline Holding Company (OTC: CLNH), announced today it has provided $61.4 million to refinance a seven-property multifamily portfolio located throughout Nassau and Suffolk counties on Long Island, New York. The loan was funded through the Fannie Mae DUS Program.
The loans – all with 20-year terms and 30-year amortizations – were used to pay-off existing loans from several local banks. The borrower is various affiliates of Fairfield Properties, a firm that is the largest owner/manager of multifamily properties on Long Island.
“Fairfield is owned by the Broxmeyer family, an experienced local owner and manager that today successfully manages almost 15,000 apartment units,” commented George Haase, Director in the Mortgage Banking Group at Centerline. “They are a family run company that actively updates all their assets to like new condition and are known for putting their familiar curb appeal on all their properties.”
Fairfield currently owns approximately 6,000 units, and acts as third party manager on 9,000. The financing provided carries a conservative loan-to-value ratio, and offers the option for supplemental financing on each asset during the term of the loans should there be a need – an option not offered by most lenders.
“The properties are located in markets with solid real estate fundamentals, a strong demand for multifamily housing, and geographies with historically strong occupancy rates,” continued Haase. “These demographic factors, along with the strong sponsorship, made this an attractive deal for Centerline. We are pleased that we were able to simultaneously rate lock and close the loans for all seven properties in the portfolio to best meet the needs of the sponsor.”
The Mortgage Banking Group at Centerline provides mortgage financing for conventional multifamily properties throughout the United States. Centerline is a Fannie Mae DUS lender, Freddie Mac seller-servicer, FHA-approved mortgage provider and source for other forms of debt and equity.
About Centerline Capital Group
Centerline Capital Group, a subsidiary of Centerline Holding Company (OTC: CLNH), provides real estate financing and asset management services focused on affordable and conventional multifamily housing. We offer a range of both debt financing and equity investment products, as well as asset management services to developers, owners, and investors. An industry leader, Centerline is structured to originate, underwrite, service, manage, refinance or sell through all phases of an asset’s life cycle. A leading sponsor of Low-Income Housing Tax Credit (LIHTC) funds, Centerline has raised more than $10 billion in equity across 137 funds, and invested in over 1,600 assets spanning 47 states. The firm’s multifamily lending platform services more than $11.5 billion in loans. Founded in 1972, Centerline is headquartered in New York City, with 246 employees in ten offices throughout the United States. A strategic partner of Island Capital, Centerline is organized around four business units: Affordable Housing Equity, Affordable Housing Debt, Mortgage Banking and Asset Management. To learn more about Centerline, visit www.centerline.com.