WASHINGTON, DC–Local condo developer Northfield will soon break ground on a 22-unit townhome community Old Town Alexandria now that the pre-development phase is complete and it is getting its construction financing in place, according to one of the backers. The $19 million project, which has been dubbed The Slade Townhomes, is located at 601 North Henry St., the site of a former parking lot.
Northfield is in the process of closing on a $13.5 million construction loan from John Marshall Bank and for its equity piece it has secured $1.85 million from Grosvenor America's structured development finance program — a flexible equity debt financing platform which lends to mainly condo developers but also apartment and mixed-use projects as well.
“This is a shovel ready project,” Scott Brody, senior vice president of Grosvenor Americas, tells GlobeSt.com. “It should break ground before the end of the year.”
The Slade Townhomes will be Grosvenor's third financing in the Washington DC area — and soon to be followed by a handful based on what is running through its current pipeline.
So far since its launch, Grosvenor America's finance program has provided $20 million to PN Hoffman's Parcel O-1 at The Yards in southeast Washington DC and $5.7 million to Madison Investments' Elysium Logan, a residential property located at 1427 and 1429 Rhode Island Avenue, NW.
It is active in a handful of markets, mainly cities where Grosvenor has a full-service office presence, such as San Francisco and Los Angeles and of course, Washington DC. After a period in which it underwrote no local deals – the Parcel O-1 deal was at the end of last year — it now appears ready to underwrite several alongside Northfield's project.
There are about five or six additional projects in the DC area currently being underwritten, according to Brody. Three are with new developers, to Grosvenor that is, and the rest of the projects are with developers with which it has existing relationships.
One reason for the uptick is that Washington DC is still undersupplied with condo product, at least for this particular cycle and its tastes — nothing very big and preferably in urban infill locations.
Those preferences means DC is unlikely to see many conversions like it did in the last cycle, Brody says. “Either the projects are too big or not in the right location. Condo buildings don't want to be very big anymore.”
WASHINGTON, DC–Local condo developer Northfield will soon break ground on a 22-unit townhome community Old Town Alexandria now that the pre-development phase is complete and it is getting its construction financing in place, according to one of the backers. The $19 million project, which has been dubbed The Slade Townhomes, is located at 601 North Henry St., the site of a former parking lot.
Northfield is in the process of closing on a $13.5 million construction loan from John Marshall Bank and for its equity piece it has secured $1.85 million from Grosvenor America's structured development finance program — a flexible equity debt financing platform which lends to mainly condo developers but also apartment and mixed-use projects as well.
“This is a shovel ready project,” Scott Brody, senior vice president of Grosvenor Americas, tells GlobeSt.com. “It should break ground before the end of the year.”
The Slade Townhomes will be Grosvenor's third financing in the Washington DC area — and soon to be followed by a handful based on what is running through its current pipeline.
So far since its launch, Grosvenor America's finance program has provided $20 million to PN Hoffman's Parcel O-1 at The Yards in southeast Washington DC and $5.7 million to Madison Investments' Elysium Logan, a residential property located at 1427 and 1429 Rhode Island Avenue, NW.
It is active in a handful of markets, mainly cities where Grosvenor has a full-service office presence, such as San Francisco and Los Angeles and of course, Washington DC. After a period in which it underwrote no local deals – the Parcel O-1 deal was at the end of last year — it now appears ready to underwrite several alongside Northfield's project.
There are about five or six additional projects in the DC area currently being underwritten, according to Brody. Three are with new developers, to Grosvenor that is, and the rest of the projects are with developers with which it has existing relationships.
One reason for the uptick is that Washington DC is still undersupplied with condo product, at least for this particular cycle and its tastes — nothing very big and preferably in urban infill locations.
Those preferences means DC is unlikely to see many conversions like it did in the last cycle, Brody says. “Either the projects are too big or not in the right location. Condo buildings don't want to be very big anymore.”
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