SAN JOSE — Two proposed downtown San Jose housing developments have landed new loans to assist regular their funds as work on breaking floor on the tasks continues.
City Catalyst, a developer that’s lively downtown, obtained a complete of $18.9 million in two loans from actual property lender Avatar Monetary Group, paperwork filed on Sept. 24 with the Santa Clara County Recorder’s Workplace present.
Gifford Place condo advanced at 470 West San Carlos Road in downtown San Jose, idea. (Aedis Architects)
Among the many tasks, City Catalyst obtained $13.9 million in financing for undeveloped parcels the place the proposed Icon and Echo residential towers at 147 East Santa Clara St. will likely be constructed.
The developer additionally obtained $5 million in financing for Gifford Place, an unbuilt senior residential improvement at 470 West Santa Clara St., county information present.
The Icon and Echo improvement, as at the moment envisioned, would produce 600 residential items, based on City Catalyst. The Gifford Place undertaking would create 169.
“It’s always nice to be able to recapitalize your projects,” mentioned Erik Hayden, founder and managing accomplice with San Jose-based City Catalyst.
The refinancing provides a hopeful outlook for the housing improvement market, he mentioned.
“There’s still a lot of faith in the ground-up development market in Silicon Valley,” Hayden mentioned. “There is still a lot of strength in this area.”
The latest minimize in short-term rates of interest orchestrated by the Federal Reserve and the prospect of extra cuts in rates of interest have inspired builders, based on Hayden.
“We think we are at the beginning of a better cycle with the cut in interest rates,” Hayden mentioned. “People are sensing a turnaround.”
