An out-of-state mortgage banking company arranges financing for the Lakewood apartments.
An Ohio-based commercial and multi-family mortgage banking company has closed a $ 47.6 million direct bond purchase for an affordable housing complex in Lakewood.
Bellwether Enterprise Real Estate Capital LLC, a subsidiary of Enterprise Community Investment Inc., worked on behalf of the borrower, Zocalo Development, to purchase the tax-exempt and taxable bonds. The bonds are used to finance the construction of Notable, a five-story, 218-unit affordable housing complex project.
Anthea Martin of Bellwether Enterprise’s Denver office initiated the loan on behalf of the borrower, while Jim Gillespie and Ilya Weinstein of Bellwether Enterprise’s New York office led the private placement. Metro West Housing Solutions has qualified the property for legal exemption. RBC Community was the stock syndicator and the Colorado Housing and Finance Authority was the bond issuer for the transaction.
The loan will be used to develop the 6-acre land at 730 Simms St., which currently houses an empty four-story commercial office building that has been completely emptied in anticipation of the property’s reallocation to Notable.
According to David Zucker, CEO of Zocalo, the proposed development is a direct response to discussions with members of the neighborhood organization who suggested a performing arts focus for the project and created an introduction to the Lakewood School of Music. Zocalo’s goal is to create a project that offers wider benefits by providing not only a new home for the music school, but practice and performance spaces for musicians as well as housing for artists in the music school. community who are driven out by the rising cost of living.
The apartment complex will consist of 10 studios, 165 one-bedroom units and 43 two-bedroom units. Of these units, 208 will be available to people earning less than 60% of the region’s median income, while the other 10 will be available to people earning at least 50% of the MAI. Units will include kitchens with garbage disposals and laminate countertops and flooring, carpeted bedrooms, and living rooms with vinyl plank flooring.
The building will also provide community amenities, including a fitness center, art studio, performance studio, rooftop terrace, dog wash, central courtyard, and bicycle storage.
Featured in the October 7-20, 2020 issue of CREJ