Black Bear Capital Partners has arranged lease-up refinancing for a newly built luxury multifamily community in Central Islip, NY. Working on behalf of The Crest Group, the firm secured a $39 million loan for the Villas at Eastview, a 100-unit property that has recently delivered and is progressing through its initial lease-up phase.
The financing was structured as a lease-up loan but priced on a stabilized basis, giving the sponsorship long-term debt economics while the property completes its absorption. The loan features a step-down rate structure, designed to provide more favorable borrowing costs over time and align debt service with the asset’s expected stabilization trajectory.
New York Life Investment Management, acting on behalf of New York Life Insurance Company, originated the seven-year fixed-rate mortgage at 60% loan-to-value. The debt includes a 30-year amortization schedule and was executed at what the parties described as a competitive market rate for institutional-quality multifamily. The structure underscores insurance company appetite for well-located residential communities that demonstrate strong lease-up prospects.
Emil DePasquale and Robert Serra of Black Bear Capital Partners led the assignment and coordinated the financing package. Their mandate included sourcing a lender prepared to treat the asset as effectively stabilized from a pricing perspective, while still accommodating the property’s current lease-up status.
In remarks on the transaction, DePasquale characterized the Villas at Eastview as the type of high-quality residential asset that institutional lenders are prioritizing in the current environment. He noted that achieving lease-up financing with stabilized pricing and a step-down rate component required a combination of lender relationships and tailored structuring to meet both borrower and lender objectives.
The financing positions The Crest Group with long-term, fixed-rate debt on a recently delivered multifamily community that they are in the process of bringing to full occupancy. Within the Long Island multifamily landscape, the deal highlights continued institutional interest in newer, high-quality product and the ongoing role of life insurance company capital in providing senior mortgage financing at moderate leverage levels.
