Ellavoz Impact Capital Announces Acquisition of Vacant Hospital Building in Newark, New Jersey

NEWARK, N.J.--(BUSINESS WIRE)--Ellavoz Impact Capital, LLC, has announced the acquisition of 306 Dr. Martin Luther King, Jr. Blvd. with the goal of converting the vacant 100,000 square-foot space into new workforce housing apartments which are designed to meet the needs of young professionals and students seeking quality, price-attainable housing in an increasingly unaffordable section of Newark. The project, known as Newark Commons, will create 43 new housing units consisting of 144 bedrooms, and will cater to the needs of today’s mobile professionals, essential healthcare workers, and university students.

The development encompasses two interconnected buildings that served as the original St. Michael’s Hospital, built in 1869, and have been a part of Newark’s history for over 150 years. Using Historic Tax Credits, the project will preserve and adaptively repurpose this vacant historic structure which has been unoccupied for nearly two decades. The property will also tap Opportunity Zone equity, a capital tool designed to stimulate investment in under-resourced communities.

Newark Commons will have a positive impact by:

• Reactivating a currently abandoned site in the Historic James Street Neighborhood, linking it to both downtown and University Hill. It will also serve as a gateway for those entering Newark from the western suburbs.
• Creating high-quality, price-attainable housing in a rapidly appreciating community with immediate access to public transportation, universities, and downtown Newark.
• Providing substantial rehabilitation to a historically significant structure.

Robert Hutchins, founder and CEO of Ellavoz Impact Capital, stated, “The repurposed use of Newark Commons to support the higher education, young mobile professionals and healthcare workforce needs for affordable private housing will be another catalyst in Newark’s remarkable growth. Ellavoz is committed to real social impact while delivering market returns to our client investors. We look forward to partnering with other Newark stakeholders in the private as well as public sector to deliver this best-in-class development.”

Ellavoz Community Capital LLC, will be the managing partner and sponsor of this project. Ellavoz Impact Capital has raised an Opportunity Zone Fund to provide Limited Partner equity into the transaction. Ellavoz secured financing from Cinnaire and Industrial Bank to acquire this building.

Jeffrey Crum, COO of Ellavoz Impact Capital, noted his enthusiasm for this acquisition and how it will help adapt and restore a historic property to positively contribute to Newark and the James Street Neighborhood: “The original St. Michael’s hospital building was beautifully designed and represents classical architecture from the late 19^th century. For too long this property has sat vacant and abandoned and represented the decline of Newark. By adaptively repurposing this structure as workforce housing, we accomplish two important community goals: eliminating blight and creating price-attainable housing. I am so excited about the vision for this property.”

About Ellavoz Impact Capital

Ellavoz Impact Capital, LLC, (EIC) is a social impact investor, advisor, asset manager, and real estate developer focused on creating and preserving workforce and affordable housing and other community-oriented real estate properties. EIC's strategy concentrates investments into price-attainable housing and economic development projects by working with socially aligned operators, local nonprofits, and governmental agencies to deliver positive community outcomes and double bottom line returns.

Based in Belmar, New Jersey, EIC currently has total managed and controlled assets with a value approaching $300 million. EIC is comprised of certified public accountants, attorneys, as well as real estate, finance, and economic development professionals. The team has both private sector experience and decades-long experience leading large community development financial institutions and nonprofit organizations. Collectively, the management team has led transactions with a total capitalization value of nearly $3 billion.

For more information about Ellavoz Impact Capital, visit our website at Ellavoz.com.