CPC and L+M Close On $33 Million to Refi, Preserve 386 Units of Affordable Housing in the Hudson Valley

Real Estate In-Depth | January 2020

Rafael E. Cestero, president and CEO of Community Preservation Corp.

NEW YORK—The Community Preservation Corporation and L+M Development Partners recently announced the closing of three Fannie Mae Multifamily Affordable Housing (MAH) loans totaling $33.2 million to finance the long-term preservation of three affordable housing developments in the Hudson Valley.

Two of the properties are located in Rockland County and one in Dutchess County.

The properties that secured financing are:

Located on DeBaun Avenue in Airmont, the Airmont Gardens Apartments refinanced with a $13.6-million Fannie Mae MAH loan. The property consists of four, three-story buildings with a total of 140 rental units that are affordable to tenants with annual incomes at 50% and 60% of Area Median Income (AMI). The refinancing will extend the terms of affordability for an additional 40 years.

Located on Imperial Boulevard in Wappingers Falls, Berkeley Square refinanced with an $11-million Fannie Mae MAH loan. The property consists of three, four-story elevator buildings with a total of 150 rental units. The property is affordable to tenants with annual incomes not more than 60% AMI. The refinancing will extend the terms of affordability for an additional 40 years.

Located on Summit Avenue in Spring Valley, the Sycamore Crest Apartments refinanced with a $8.6-million Fannie Mae MAH loan. The property consists of a four-story elevator building with 96 units, which are affordable to tenants with annual incomes at 50% and 60% AMI. The refinancing will extend the terms of affordability for an additional 40 years.

Additionally, the New York State Housing Finance Agency (HFA) is partnering with L+M and CPC to provide $20,000 per unit in funding to complete moderate-rehab work at each property, and separately, a new capitalized moderate-rehab reserve fund will also be created for the long-term benefit of each property.

“The quality and affordability of our housing stock is a key issue facing cities both large and small across the state. We should be doing all we can to help communities preserve existing affordable housing while ensuring it remains both financially and physically stable for the long-term,” said Rafael E. Cestero, president and CEO of CPC. “We’re pleased to be able to partner with L+M to ensure that the tenants of these three Hudson Valley properties will have well-maintained, affordable homes now and for decades to come. I also thank our partners at Fannie Mae and NYS HFA for their hands-on support and commitment.”

“We are proud to partner with CPC on this vital project to preserve and renovate 386 affordable apartments for low-income senior citizens, especially at a time when many New Yorkers throughout the state are struggling to afford rising housing costs,” said L+M Development Partners’ managing director Jeffrey Moelis. “We are grateful to our public and private partners for working with us to prevent the loss of these units and sharing our commitment to provide needed housing for working families in the Hudson Valley.”

CPC is a nonprofit affordable housing and community revitalization finance company that believes housing is central to transforming underserved neighborhoods into thriving and vibrant communities. Since inception, CPC has provided more than $11 billion to finance more than 196,000 units of housing, and is currently one of the largest Community Development Financial Institutions in the country dedicated to investing in multifamily housing.

L+M Development Partners Inc. is responsible for more than $7 billion in development and investment, and has acquired, built or preserved nearly 25,000 high-quality residential units in New York’s tristate area, the West Coast and Gulf Coast regions.
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