Related Urban closes $167M financing for Miami income-restricted apartments

Related Urban Development Group, an affiliate of The Related Group, has closed the $167 million financing package for Gallery at Lummus Parc, a 257-unit apartment community at 395 Northwest 1st Street in Miami, according to Connect CRE, with construction underway and completion expected in late 2028. There is no bank construction line or bridge anywhere in it.

Greystone assembled the money in three pieces: $80 million of construction financing from Greystone Housing Impact Investors LP through a joint venture with BlackRock Impact Opportunities Fund, $27.1 million of 4% Low-Income Housing Tax Credit equity from Greystone Real Estate Capital, and a $60.1 million Freddie Mac forward tax-exempt loan, fixed-rate and permanent. Those pieces account for essentially the whole $167 million. The deal team reached across the group's affiliates: Greg Voyentzie and Jay Reed at GREC, Jason Kaye at GHI, and Jeff Englund and Pharrah Jackson at Greystone.

The Freddie Mac piece does the structural work. A forward commitment locks the permanent takeout before the building is finished; the same instrument appeared in August as an $8.018 million forward on a Battle Creek workforce project, a fraction of the size. At $60.1 million, the Miami forward fixes the exit rate and the tax exemption well before lease-up, so the construction lender is underwriting a takeout rather than a 2028 refinancing market.

Impact-fund debt fills the construction layer, tax-credit equity sits beneath it, and GSE paper provides the exit. Trepp's second-quarter review found six of ten community banks running off multifamily loans, and the gap those retreats leave is the one this stack fills. Greystone's own ledger is full: the firm has six items logged, with closings on consecutive days in late September.

About 83% of the 257 residences will carry income or rent restrictions, which caps the rent side of the underwrite and pushes the return into credit and tax benefits, a different trade from the market-rate buyers manufacturing yield from current cash flow. Delivery in late 2028 also lands inside the supply gap that patient capital has been underwriting, the window before core buyers are expected back.

The fixed rate on the $60.1 million forward is not in the coverage, but written against a 2028 delivery, that number is likely what the next workforce deal in this queue gets measured against.