A mixed-use multifamily project in Philadelphia under Trinity Realty Companies has secured US$17 million in funding for construction provided by Thorofare Capital. The non-recourse loan was issued at a loan-to-cost of 75 percent for Germantown Living, a projected 72-unit apartment building with 16,339 square feet of retail. Meridian Capital Group, chaired by Israel Leiner, handled the acquisition. The project, which is located at 2224-2250 Germantown Avenue in North Philadelphia’s Norris Square area, is expected to take 24 months to construct and lease-up.
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On-site building facilities will include bike storage, a workout area, a tenant lounge, storage lockers, a business center, and a roof deck. The realty company also intends to build a lower-level parking garage with a capacity of 52 parking spaces. Thorofare’s first ground-up building project in the city is Germantown Living and third financing in Philadelphia for this year.
Commentary on the Trinity Realty Philadelphia mixed-use project
“We continue to feel that this market provides favorable risk-adjusted returns when compared to other large cities, and we plan to expand further in Philadelphia in 2022 and beyond.” “We are drawn to these transitional residential submarkets and seek for developers with expertise constructing and leasing up these sorts of multifamily properties,” said David Perlman, managing director at Thorofare Capital. According to Perlman, the Norris Square area has experienced a recent surge of millennials, with 12.9 percent of its population in a half-mile radius being made up of college graduates between the ages of 25 and 30. Germantown Living is 0.6 miles from Temple University’s campus and three miles from downtown Philadelphia.
The real estate firm is also nearing completion on a nearby property called The Sixteen Twelve Condominiums, which is situated at 1612 Cambridge Street. It will have 21 premium condo units, secure off-street parking for all units, a GE Café appliance package, an elevator, a green roof, and a 10-year tax exemption when it is finished next spring.
