Merchants Bank Provides $27.5 Million for Brooklyn Affordable Housing Rehabilitation

Merchants Bank recently provided $27.5 million in bridge financing for the acquisition and rehabilitation of Restore Housing Apartments, a 138-unit affordable housing complex located in Brooklyn, New York City. The borrower for this significant transaction is Tredway, a local owner-operator. The property features one-, two-, three-, and four-bedroom apartments, specifically reserved for households earning 50 percent or less of the area median income.

A substantial $10 million in capital improvements is planned for the complex. These upgrades will encompass new lobbies, modern kitchens and bathrooms, energy-efficient appliances, and the installation of a rooftop solar system. These enhancements are designed to preserve the property's affordable housing status for an additional 99 years, a critical factor for the community. Merchants Capital was responsible for arranging the financing, facilitating this long-term affordability preservation project.