CPC inks loan deal for home renovation.

The Community Preservation Corporation has recently signed a master loan agreement with Chadwick Realty Partners, LLC, a private New Jersey development company.

With this agreement, CPC established a $4.25 million revolving line of credit for the company to use for the purchase, renovation and resale of single- to four-family homes in Essex, Passaic and Hudson counties in New Jersey.

Chadwick Realty Partners anticipates rehabbing and reselling an average of five homes per month for a total of sixty individual units per year. Annemarie Uebbing, PP, vice president and regional director of CPC, is thrilled to announce this loan agreement, which is quite unique to New Jersey.

She commented, "Chadwick Realty Partners is a highly valued customer of CPC's and we are proud to be partnering with them in this dramatic initiative. This revolver program will address the state's need to rehabilitate the large stock of one- to four-family properties in some of our urban areas and the end product will fit in with New Jersey's Smart Growth goals and will increase homeownership opportunities."

The revolver loan will allow Chadwick Realty Partners principals, Scott Seale and Steve Hess, to borrow money to acquire these vacant, boarded-up properties, which are oftentimes foreclosed one- to four-family houses, make necessary repairs and renovations and resell them.

The entire process for each property is expected to take six months and the resale of the homes will replenish the revolver.

Acquired units will need moderate rehabilitation, such as window replacement, masonry and facade work on exteriors and flooring, plumbing repairs, upgrades to kitchens and bathrooms and interior painting.

Once completed, the units will be targeted to middle-income homebuyers, who will be required to obtain conventional mortgages. The entire process has been designed by CPC to significantly reduce closing, engineering and environmental costs.

CPC has already closed on its first transaction under this new revolver loan at 99 Melrose in Irvington, N.J., a property which has already received interest from local residents. The vacant, four-family home requires heating system replacement, interior paint and serape, new kitchen cabinets, new ceramic tiles in bathrooms and new windows and, when completed, is expected to sell in the high $200,000s.