On April 22, 2019, Riverside Capital, LLC, a provider of capital for high-quality affordable housing developments, announced it had invested $4.1 million in a multifamily rehabilitation project called Cooper Plaza Townhomes in Camden, New Jersey.
Cooper Plaza consists of 64 total units housed within 32 Victorian-style townhomes, 25 of which were constructed in 1899 with the remaining structures delivered in 1993 when the property underwent a full rehab. All units are located within a four-block radius within the Lanning Square neighborhood of Camden at the intersection of Washington Street and Haddon Avenue.
“Riverside is extremely excited to expand our relationship with Michaels and provide vital housing needs to the Camden area. The rehab of Cooper Plaza will not only bring new life to the existing property but will also contribute to the greater Camden community as a whole,” said Rick Slagle, Senior Vice President of Acquisitions, Riverside.
The project consists of 32 two-bedroom townhouse units and 32 three-bedroom units and will utilize income-averaging. Riverside will be partnering with Michaels Development Corporation (“MDC”) as the developer on the project with Michaels Management (formerly Interstate Realty Management) set to serve as the property manager.
“We are excited to preserve this affordable housing community, which is centrally located to employment, schools, and the Walter Rand Transportation Center and which is a critical part of the comprehensive revitalization of the historic district,” said Nicholas Cangelosi, Vice President of Development for Michaels. “We are grateful to the Mayor and the City Council, as well as Cooper University Health Care and a host of partners committed to Camden’s future, whose support has made this rehabilitation possible.”
Together, MDC and Michaels Management have almost 60 years of experience in low-income housing, and have partnered with Riverside for many projects in the past.
“We were excited to partner with Riverside Capital and The Michaels Organization on this important rehabilitation project,” said Matt Napoleon, Berkadia Senior Managing Director. “A Freddie Mac’s Optigo tax-exempt loan product was a great option to support this project, which will provide essential affordable housing for Camden residents.”
Cooper Plaza is being financed with equity from Riverside’s purchase of 4 percent Federal Low-Income Housing Tax Credits, a TD Bank Construction Loan, a Permanent tax-exempt loan from Freddie Mac arranged by Berkadia Commercial Mortgage, and soft loans through the Department of Community Affairs (“DCA”) and the Camden County Office of Community Development. In addition, an AHP award from the Federal Home Loan Bank of New York will be utilized.
“This is another great example of how public-private resources are being leveraged to ensure investment takes place within Camden’s neighborhoods,” said Camden Mayor Francisco Moran. “I am grateful to the New Jersey Housing and Mortgage Finance Agency, New Jersey Department of Community Affairs, Camden County, Berkadia, Riverside Capital, TD Bank and The Michaels Organization for being incredible community partners. Not only are these beautiful historic homes being rehabilitated but our Camden residents will now have greater access to quality housing within their community.”
Riverside Capital, LLC, a joint venture of Berkadia and The Michaels Organization, is a full-service tax credit investment company offering capital solutions to developers of high-quality affordable housing. National in scope—and serving both for-profit and nonprofit developers—Riverside has guided the financing and syndication for more than 7700 affordable apartment homes across the country, representing over $1 billion of equity capital.
Photo courtesy of Riverside Capital.