Pembrook Provides $12.4 Million Loan for Staten Island Properties
Pembrook Capital Management has provided a $12.4 million loan for the acquisition and rehabilitation of 100 Belmont Place and 101 Daniel Low Terrace in Staten Island. The two adjacent rent-stabilized apartment buildings house 12 apartment units.
The buildings will be converted to long-term rent-regulated properties through New York City’s Article XI Tax Incentive Program. The plan is designed to encourage new construction or rehabilitation of affordable housing. The property will be subject to a 40-year Regulatory Agreement mandating its affordability at 55%-100% of area median income. In return, the city will give the borrower an Article XI tax abatement that will help safeguard the property’s fiscal stability for decades to come.
The borrower plans to use the majority of the financing package to acquire the asset and will set aside $2.3 million of the funding to implement a comprehensive capital improvement program that will include exterior and interior renovations. Pembrook is a real estate investment manager that provides financing throughout the capital structure. The firm has originated or participated in investments totaling over $1.4 billion since it began investing in 2007.
