Berkadia Completes $121M Financing for Queens Multifamily

NEW YORK CITY – Berkadia, a commercial real estate banking and sales firm, has secured $121 million Freddie Mac loan for 711 Seagirt Ave., a 917-unit high rise multifamily property in Rockaway, Queens. Meridian Capital Group arranged the transaction.

Property financing through Freddie Mac includes a 10-year term with five years for interest-only for the $120.78 million senior loan. Meridian also secured $25 million in preferred equity through entities affiliated with Pennybacker Capital.

The property was in line with Freddie Mac’s affordable housing loan program, with almost 40 percent of the units, or 358 units, marked affordable for very-low-income tenants who earn 50 percent of area median income or less, and almost 70 percent of the units are affordable to low-income residents with incomes at or below 80 percent  of the area median income.

“This deal represents exactly the type of financing Freddie Mac strives to provide,” said Director Michael Shmuely of Berkadia’s New York office, in a prepared statement.  “The property is a well-located asset offering affordable rents and the sponsors are long-term holders committed to improving the quality of life for their tenants via significant capital improvements. Treetop has now recapitalized the stack at historically low interest rates and is positioned for long-term success. We at Berkadia are thrilled to have been a part of that.”

Comprised of a mix of studios, to one- and two-bedroom floor plans, units are outfitted with stainless-steel appliances, dishwashers, granite countertops and walk-in closets. Community amenities include a doorman, an elevator, laundry facilities and a fitness center. Residents are also located within walking distance of Rockaway Beach, Rockaway Beach Boardwalk and Queens Marina and Boat Dock.