re-nj.com
Original Article

A joint venture has closed on a $64 million loan for its plans to convert a historic Wonder Bread factory in Hoboken into an 89-unit luxury residential building.

Angelo Gordon & Co., Prism Capital Partners and Parkwood Development Corp. said Wednesday that they secured the construction financing for the project, known as Wonder Lofts, at 720 Clinton St. Bank OZK is providing the loan.

“This financing from Bank OZK allows us to move forward with the modernization of a classic former industrial site that is part of what makes Hoboken so historically significant,” said Daniel Rudin, a director with Angelo Gordon. “We are now fully capitalized for the project, and we are excited to have Bank OZK as part of that team.”

The conversion of the 109-year-old complex will also result in retail space fronting Clinton Street and more than 10,000 square feet of indoor and outdoor amenity space, according to a news release. That space will include a modern fitness area, pool, roof deck, party room, golf simulator, chef’s kitchen and grill stations.

The developers have completed nearly all interior demolition and construction preparation, with construction of the main building slated to begin in the fourth quarter, the news release said. All told, the Wonder Lofts will be comprised of five separate buildings and will retain a significant portion of the site’s original architecture.

“Wonder Lofts is going to be a great project delivered in a market with nothing really like it for sale,” said Eugene Diaz, co-founder of Prism Capital Partners, which is based in Bloomfield. “Significant work has already been completed, and once the renovation is finished, the Wonder Lofts will offer an attractive and reasonably priced alternative in the Hoboken submarket on the doorstep of New York City.”

The project is years in the making after being initiated by Parkwood in 2012. In March, Angelo Gordon and Prism announced that they had stepped in to complete the project with a $120 million recapitalization.

The firms have hired CORE Group Marketing to lead sales and marketing efforts. The project’s architecture team includes Minervini Vandermark, which is leading the exterior building renovations, and Workshop/APD, which is responsible for the interior layouts and design.