What does it take to get funding for a residential project these days? A track record, lots of pre-sales, multiple lenders and 40 percent down. That's the take-away from Michael Stoler's piece in The Real Deal yesterday. In one of the only major residential deals to get funded lately, Extel inked a $135 million construction loan from a consortium of banks to break ground on a 20-story building on West End Avenue in Manhattan; Stoler also notes that one of the Myrtle Avenue projects (our guess would be Red Apple, as Toren and Avalon are much further along ) also recently secured a $35 million construction loan. Stating th obvious, Stoler writes, "Because of the current state of the market, New York City can expect to see financing for a limited number of residential projects over the next 12 to 18 months."
Banks Only Lending to Select Group [TRD]
Residential Construction Financing Hard to Come By
Copyright Brown - Brownstoner