Progress Capital announced on Sept. 20 it secured a $31.05 million loan for a client to refinance Carlton Village Apartments, a multifamily complex located at 3331 Route 94 in Hamburg
Partner Brad Domenico and Assistant Vice President Gabby Cali of the commercial real estate advisory firm worked on behalf of the borrower, a seasoned real estate investor with 45 years of experience who owns and operates in excess of 2,500 units throughout New York and New Jersey.
Carlton Village Apartments is one investment that the borrower has owned and managed for more than 30 years. Purchased in 1985, the owner says there was significant potential in the suburban submarket with its location in the picturesque hills and farmlands of Sussex County.
Today, the area exhibits an even bigger appeal, confirming that vision as spot on.
“Since Spring of last year, we’ve been seeing an exodus rise coming from residents living in major cities such as Manhattan, Jersey City and Hoboken.” Domenico noted. “As the pandemic looms and people continue to work remotely, it’s apparent that most of them are willing to trade the city-life for more living space in locations that aren’t heavily populated and have less overhead.”
The 240-unit apartment complex consists of 21 buildings situated on 37 acres. The unit mix includes 64 studios, 116 one-bedroom and 60 two-bedroom, featuring private balconies. Additionally, 475 parking spaces provide on-site parking for each tenant.
The units combine the essence of estate living with the convenience of mass transit and proximity to New York City.
Sussex County is the northernmost county in New Jersey, part of the New York Metropolitan area and the state’s Skylands Region. Living in Sussex County offers residents a dense suburban feel.
“I believe we are going to continue to see an influx in the greater New York Metropolitan areas. We’ve been seeing a lot of deals outside the cities come across our desks as the demand for a more suburban lifestyle grows. City adjacent properties are hot commodities for investors right now. Banks are also seeing the potential in such properties, so arranging financing has gotten a little less difficult,” Domenico concluded.