Wells Fargo has provided a $75 million Fannie Mae loan on the French Apartments near Madison Square Garden in Manhattan.
The borrower, an affiliate of the Related Companies, purchased the property in August 1979.
The borrower signed an agreement with the city’s Department of Housing and Preservation that requires 169 out of the total 174 units to be rented to low-income families at a fixed price based on income. The city agency will manage the property.
The French Apartments includes two 12-story buildings located at 330 West 30th Street and 329 West 29th Street, a few blocks from Penn Station and Madison Square Garden. One of the buildings was originally completed in 1929 and was utilized until 1978 by the French Hospital.
Lending giant Wells Fargo is extremely active in gateway markets including New York City. The bank was named the top originator of commercial/multifamily mortgages in 2015 and 2014, according to the Mortgage Bankers Association’s annual originations rankings.
Previously, the bank provided a $150 million financing to Related Companies on a 52-story Tribeca Tower apartment building in Manhattan this April.
This May, the FHFA increased the multifamily lending caps for Fannie and Freddie from $31 billion to $35 billion for 2016. The two agencies provided a combined $89.6 billion in new multifamily lending volume last year.
Last month, Related Companies and its partners secured an $88 million construction loan from Deutsche Bank AG for the development site in the SoHo district of Manhattan.
The lender and borrower did not respond to requests for comment in time for publication.