The complex was named after NJ politician John P. Renna.
WEST ORANGE, NJ—Love Funding said Thursday it had closed on a $4.5-million loan for John P. Renna House, a Section 8 seniors apartment community here. The Washington, DC-based FHA lender, which serves multifamily, affordable, healthcare and hospital owners, secured the debt to refinance and preserve age-restricted housing at the complex.
Bruce Gerhart, Midwest regional director for Love Funding, secured the loan through the HUD’s Section 223(f) mortgage insurance program after the units were converted through the Rental Assistance Demonstration program. HUD’s RAD program provides for the conversion of public housing units to private ownership while sustaining their affordability through long-term Section 8 contracts.
As part of the transaction, a new 20-year housing assistance payments contract was put in place for the 181 age-resrticted units. In addition, the financing provided the ownership team with low-rate, non-recourse financing for a 15-year term, and part of the proceeds will be used to fund repairs and a replacement reserve account.
John P. Renna House has 183 units, 181 of which are restricted to tenants age 62 and older or those with disabilities. The nine-story building contains a mix of studios and one and two-bedroom units.
The property is owned by the West Orange Senior Citizens Housing Association Inc. and managed by Raymond P. Marzulli Co. Inc. It was named after the late John P. Renna, who served as Commissioner for the New Jersey Department of Community Affairs in the early 1980s.