Real Estate Sculptor, a fund vehicle managed by a global asset manager Sculptor Capital Management, provided $ 68 million in construction debt to a joint venture between Norwalk, Connecticut Spinnaker Real Estate Partners and residential developer Eastpointe, learned Commercial Observer.
The loan will finance the development of Canfield Park at Fairfield metro, a luxury multi-family property in Bridgeport, Connecticut. The property will consist of two mid-rise residential buildings of five and six storeys and a 500-space car park. Funding was closed at the end of October.
The developers have already innovated on the project and hope to start delivering the 300-unit project to the market in the first quarter of 2022, Spinnaker Chairman, CEO and Principal Clayton fowler told CO. He said the five-story portion of the property will be the first to begin leasing in early 2022, with the second six-story portion due for delivery around four months later.
JLL‘s Christophe peck, Peter Rotchford, Kristen knapp and Rob root sourced and arranged debt on behalf of borrowers.
“This project will be very appealing to families transitioning to a more suburban lifestyle, as well as empty nests moving from large single-family homes to modern rental properties,” Rotchford said in a statement. “The Bridgeport market has seen a significant influx of New York City residents since the onset of the COVID-19 crisis, and this property is well positioned to benefit from changing tenant preferences. “
Spinnaker will handle rental and property management, while development will be led by Eastpointe, a development company led by Bryan robik and Bill Finger, in what is a “true 50/50 joint venture,” according to Fowler, who added that Finger has been a partner and investor in Spinnaker for “many years.”
The assets will include studios, one and two bedroom residences averaging 850 square feet, according to JLL, and there will also be 20,000 square feet of on-site amenities. Its location will be next to the Fairfield Metro-North railway train stop, along the New Haven line, as well as Interstate 95, a major highway artery that spans the east coast.
“We’ve been working to put this together for a while,” Fowler said. “It had to shut down when COVID started, and it became a victim. So we took those last six to seven months to put Humpty Dumpty back together, and we were able to do it. “
Fowler added that the most disappointing aspect of the process was that Spinnaker and Eastpointe were in ‘ready, set, go’ mode before COVID, and then their previous construction lender abruptly pulled out of the deal after the start of the deal. pandemic.
Fowler said the joint venture’s motivation for wanting to build the asset “still stands today,” given the demand and its location along the commuter train line.
“It’s in a good location and you can take advantage of what Fairfield has to offer,” said Fowler. “We bought the land relatively opportunistically – we made a fair deal on it – and if you buy the land correctly your chances of success are much better. With people finding out that they don’t have to live in New York to maintain a relationship with [it], [this construction]work is more favored now. We are very excited to put it in place.