JLL has arranged a $617 million capital package for Grubb Properties in support of a planned 64-story, Class A multifamily tower known as Link Apartments 8 Carlisle in Manhattan’s Financial District. The financing benefits Link Apartments REIT and Link Apartments Opportunity Zone REIT, both of which are managed by Grubb Properties alongside the development.
JLL advised Grubb Properties as developer and REIT sponsor through a coordinated, three-phase assignment that combined corporate advisory, banking advisory and debt placement. The mandate began with JLL’s M&A and Corporate Advisory group, led by senior managing director Steve Hentschel and director Adam Coleman, which guided the merger of multiple legacy Grubb funds and their rebranding into Link Apartments REIT.
In the second phase, JLL’s Corporate Banking Advisory team focused on balance sheet and portfolio-level financing for the new REIT platforms. Led by senior managing director Anthony Fertitta and associate Jonathan Koletic, the group advised Link Apartments REIT and Link Apartments Opportunity Zone REIT on securing a $240 million NAV credit facility from Bayview Commercial Mortgage Finance. According to JLL, this facility supports the consolidation of a 45-property portfolio under the Link Apartments umbrella while also providing an equity commitment toward the capitalization of Link Apartments 8 Carlisle.
The third component of the capitalization addressed project-level debt for the Lower Manhattan tower. JLL’s Debt & Equity Advisory group, working alongside Arrow Real Estate Advisors, arranged a $300 million senior construction loan provided by Maxim Capital Group. To further complete the stack, the advisory team also secured a $77 million mezzanine loan co-originated by GreenBarn Investment Group, Skylight Real Estate Partners, Axonic Capital and Meadow Partners.
The Debt & Equity Advisory assignment was led by managing director Stephen Van Leer, senior managing directors Rob Hinckley and Jeffrey Julien, managing director Steven Rutman and directors Alex Staikos and John Lowe. Together with the earlier corporate and banking advisory work, the three phases resulted in a multi-tranche capitalization structure designed to support both the growth of the Link Apartments REIT platforms and the development of the high-rise multifamily project in the Financial District.
