L+M Development Partners and Community Preservation Partners (CPP) have acquired an affordable housing in East Orange, New Jersey, for $94 million, with plans to invest $29 million to rehabilitate it.
L+M Development, based in Larchmont, New York, and Community Preservation Partners, headquartered in Irvine, California, in a joint venture have purchased the 406-unit Norman Towers at 500 N. Walnut St., the companies said in a statement. It represents the first rehab project that Community Preservation Partners, a national affordable housing developer, has undertaken in the Garden State.
Norman Towers was built in 1980 and has not received any major renovations since the original construction. Affordable housing mandates for the property were set to expire in 10 years, but will now be extended for 50 years as part of the purchase agreement. ‘We’re proud to add another state to our growing Eastern portfolio and the Norman Towers project is a great way to make our New Jersey debut," CPP Vice President Seth Gellis said in a statement. ‘In keeping with our mission of enriching lives and strengthening neighborhoods, we’re giving the Norman Towers a complete face-lift in addition to new amenities and community activity areas to revitalize the quality of life for the senior residents."
The planned improvements for individual apartments include energy-efficient appliances and upgrades such as new cabinets and counter tops. Community Preservation Partners also plans enhancements to indoors and outdoor common areas, including an expansion of the community room and the remodeling of additional spaces, a new computer room and fitness center, as well as new landscaping, lighting, built-in BBQs and outdoor-dining areas. The renovation is expected to be completed in two years.
“Much of our work in Northern New Jersey is focused not just on the revitalizing properties but also ensuring that those living in them can remain in their homes,” Jeffery Moelis, L+M Partners’ managing director of preservation, said in a statement. “We are proud to work with CPP as well as our government and financial partners, including the City of East Orange, the New Jersey Housing and Mortgage Finance Agency, Freddie Mac, HUD, and Wells Fargo to deliver essential upgrades and preserve affordability for seniors at Norman Towers.”
Source: Costar News
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