FARMINGVILLE, NY — Ninety-one million in debt and equity financing has been arranged for the 292-housing-unit Arboretum at Farmingville — expected to begin shortly and take less than three years to complete, with the first units being delivered in about 12 months, according to JLL Capital Markets.
JLL worked on behalf of the borrower, a joint venture between BRP Companies and funds and accounts managed by BlackRock Alternative Investors, obtaining a $91 million floating-rate construction loan through Santander Bank, and has “advised on the equity investment portion of the capitalization stack,” according to a news release.
JLL Capital Markets also arranged both the acquisition financing and equity for BRP Properties’ acquisition of the site in April 2020.
The development is situated on a 62-acre former farm site on Horseblock Road and will feature two- and three-bedroom flat, loft, townhome, and single-family home units within a luxury garden-style community that will also have state-of-the-art amenities, including a resort pool and cabana area, fitness center, yoga room, and fitness on-demand room.
The development will also contain a seven-acre park with walking trails and picnic areas for public use.
The development’s site underwent an eight-year entitlement process as part of a wider community effort to revitalize with new housing as well as community spaces, recreational opportunities, attractive streetscapes, and planned development, according to officials.
The development will consist of 262 fair-market residences, as well as 30 workforce units.
The Town of Brookhaven’s Industrial Development Agency recently closed on an incentives package for Brookhaven Venture, LLC to construct the $135 million project.
“Suffolk County is home to nearly 1.5-million people and a preponderance of single-family homes,” officials stated in a news release. “With a dearth of Class A rental apartments and a 2.5 percent vacancy rate, Arboretum at Farmingville will appeal to families and working professionals, many of whom are employed by the multiple healthcare providers and facilities in the area.”
JLL Senior Managing Director Rob Hinckley, who was on the advisory team representing the sponsor, said the development will have “powerful appeal given Long Island’s history as a largely suburban community with limited multi-housing apartment options for residents.”
“The property provides much-needed apartments that will appeal to families and young professionals, with the rich amenities and large unit floor plans that include over 50 single-family rentals,” he added.
Steven Smith, partner at BRP Companies, said staffers are thrilled to be in the process of delivering the development, which will “provide a mix of beautifully appointed two- and three-bedroom residences for households choosing to rent, as well as a park amenity to the Town of Brookhaven and surrounding communities.”
“We look forward to continuing our work in bringing this project to fruition alongside all project partners involved as we look ahead to the commencement of construction,” he added.