"The news headlines paint a grim economic picture," notes JamieBlock, VP-finance for SK Properties. "There's a belief that thefinancial institutions have completely stopped lending money fornew residential projects. But while market conditions have createdsignificant challenges and major banks have tightened theircriteria, we've been able to continue to originate and constructfinancing packages that lenders are comfortable with."

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The largest of the loans just picked up was $107.5 million for225 Grand--a 12-story, 348-unit rental building in Jersey City. Theproject is part of the Liberty Harbor North development, and SK isjoint venturing the building with the Hoboken-based AppliedDevelopment. The financing is for a three-year term, according toBlock, with lead lender PNC Bank backed by TD Banknorth, CapitalOne and Commonwealth Bank Group.

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The other two recently-financed properties are both inPennsylvania. For one, a $46-million loan supports construction ofCentronia Road Apartments, a garden-style complex with 364 unitsspread over a total of 26 buildings, accompanied by a comprehensiverecreational amenity package. Capital One was the lead lender forthe three-year package, backed up by TD Bank.

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Finally, $17.1 million was obtained for Allenbrook Apartments, acollection of 133 garden-style units in Allentown, PA. Theconstruction loan was for a three-year term, placed with Bank ofAmerica.

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Ongoing work on the three properties adds to an SK portfoliothat currently amounts to more than 8,000 owned and 3,000 managedapartment units. The company also owns and manages more than fivemillion square feet of office, warehouse and retail space.

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