Multifamily Mania

The apartment market — spurred in large part by a major housing shortage in the United States — continues to draw investor and lender interest. The latest pieces of evidence come via a major construction loan for a major tower in New York City; and the other for big plans for a big conversion in Los Angeles.

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— Tom Acitelli, Co-Deputy Editor

M&T Bank Leads $425M Construction Loan Loan on Long Island City Resi Tower

BLDG Management Company has nabbed $425 million of construction financing to build the tallest residential tower in Long Island City, Queens, Commercial Observer can first report. M&T Bank led the $425 million loan for the planned 69-story development known as The Orchard, while U.S. Bank and Bank of China were co-joint lead arrangers on the deal, according to Greystone Capital Advisors, which arranged the transaction. Israel Discount Bank, City National Bank and Bank Hapoalim also contributed to the loan. Greystone Capital Advisors’ Drew Fletcher, Paul Fried and Bryan Grover arranged the financing.

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Jamison to Flip More Los Angeles Office Space Into 700 Apartment Units

Jamison Services, which has long been converting offices into housing in Los Angeles, has added another big project to its plans. The developer submitted an application to flip a 33-story, 600,000-square-foot office tower in Downtown L.A. into a mixed-use property with almost 700 multifamily units and 48,000 square feet of amenities. Urbanize first reported the adaptive reuse project in the face of the downtown office market’s ongoing troubles. The former ARCO Tower at 1055 Seventh Street, just west of the U.S. 110 Freeway, rises approximately 464 feet, and was completed during the late 1980s office-building boom. L.A. Care Health Plan is vacating the property and moving to a neighboring building in 2024. Jamison plans to add 691 studio, one-, two- and three-bedroom apartments, ranging from 538 to 1,304 square feet, as well as theaters, fitness rooms, lounges and business centers.

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