Pensam Residential has closed on a preferred equity investment to facilitate the acquisition of Forest Hill Towers, a 401-unit apartment community located in Newark. The New York-based sponsor acquired the property for $73 million.
Located at 515 Mount Prospect Ave., Forest Hill Towers was built in 1964 and consists of studio, one- and two-bedroom apartments ranging from 600 to 900 square feet.
Individual units feature spacious closets, individual climate control and balconies with views of Manhattan and the Orange Mountains. The pet-friendly community offers on-site management, covered parking, a 24-hour door attendant, a 24-hour laundry center, high-speed internet and storage.
Pensam’s preferred equity investment is structured behind Fannie Mae senior financing.
“This is a generational multifamily asset in an upscale, lush pocket of the city that is known for its historic architecture and tree-lined streets,” said Noah Miller, vice president of acquisitions and finance at Pensam. “As many of the new Class A apartments in the New York-New Jersey metro area remain out of reach for the majority of the area’s workforce, we anticipate continued strong demand for assets like this that benefit from long-term, stable management, a terrific suburban-urban location and exceptional access to public transit.”
Forest Hill Towers is located less than 20 miles from New York City and has convenient access to a range of transit options including commuter trains, buses, major highways and Newark International Airport.