Queens, NY Jonathan Rose Companies, one of the country’s leading developers and investors in sustainable, affordable and mixed-income multifamily real estate, has acquired Goodwill Terrace Apartments for $35 million from Goodwill Industries of Greater New York and Northern New Jersey, Inc. The subject is a 202-unit NYC Mitchell-Lama property at 4-21 27th Ave. in the Astoria neighborhood.
“Goodwill NYNJ is proud of building this one affordable complex in the 1970s and supporting our residents and our community for over 45 years. In this next chapter we are extremely proud to have Goodwill Terrace be part of Jonathan Rose Cos., where it will continue to stay a part of NYC affordable housing landscape and see improvements for the wonderful tenants,” said Katy Gaul-Stigge, president and CEO of Goodwill NYNJ. “We will reinvest the proceeds from this sale into the core mission of Goodwill NYNJ programs that serve 30,000 people with disabilities and other barriers to employment to gain independence through the power of work.”
The Rose Affordable Housing Preservation Fund IV, L.P. will invest $18 million of equity in the property. The investment will include $10 million in capital improvements to increase energy efficiency, modernize the existing building, and create new resident amenity and social services spaces as part of Jonathan Rose Companies’ Communities of Opportunity programming.
The acquisition represents a partnership with the City of New York. The NYC Housing Development Corp. (HDC) provided a $28.5 million loan.
The Transwestern commercial services team of Stephen Powers, Lindsay Ornstein, Jake Cinti, Dean Sigmon and Justin Shay provided investment services to Goodwill NYNJ and procured the buyer.
“We are extremely pleased to partner with Goodwill and the City of New York, and work in close collaboration with the residents to revitalize this visible affordable housing property for another generation,” said Nathan Taft, partner and managing director of acquisitions at Jonathan Rose Cos.
“This project represents the city’s commitment to securing our remaining Mitchell-Lama housing stock,” said HDC president Eric Enderlin. “Congratulations to Goodwill Industries, Jonathan Rose Cos. and all our partners who have worked diligently to preserve the affordability of more than 200 homes at Goodwill Terrace Apartments.”
The Fund also worked closely with the New York City Department of Housing Preservation and Development to preserve the long-term affordability of the property under the Mitchell-Lama program.
“The sale of Goodwill Terrace places Goodwill NYNJ in an unsurpassed position of strength moving forward,” said Stephen Powers, Transwestern managing director and leader of the firm’s national Nonprofit Advisory Services group. “Goodwill is benefitting from a tremendous opportunity to build its endowment, which will support its critical mission for the next 100 years. We applaud and appreciate Jonathan Rose Cos.’ commitment to keeping Goodwill Terrace affordable.”
Rose Community Management, an affiliate of Jonathan Rose Cos., will take over management of the community.
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