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Octagon Finance

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Apollo Theater, New York City, NY

Octagon Finance backs the $64 million revitalization of Harlem’s legendary Apollo Theater with an $8.95 million Historic Tax Credit bridge loan.

Octagon Finance has provided an $8.95 million Historic Tax Credit (HTC) bridge loan to support the $64 million rehabilitation of the iconic Apollo Theater in Harlem, New York. The loan is secured by both federal and state HTCs, anticipated future HTC payments, and a pledged membership interest in the managing member of the master tenant. Funds will be drawn over 23 months as project milestones are met.

Octagon underwrote the transaction after a majority of preconstruction work and some selective demolition had occurred. With a majority of due diligence in hand, the transaction closed quickly.

The rehabilitated theater will consist of 1,680 seats spanning multiple stages and 66,000± gross square feet over three floors. Key project components include the restoration of the historic façade and the replacement of the iconic neon signage with energy-efficient LED lighting. The renovation also involves modernization of the theater’s mechanical, lighting, and sound systems; construction of new restroom facilities and ADA accessibility upgrades; and a redesigned lobby that will feature a new café and retail space. Backstage areas, including offices, dressing rooms, and sound stages, will be upgraded to support expanded operations, and the entire project emphasizes sustainability, with a goal of achieving LEED Silver certification.

Opened in 1914 as the “New Theater” and reimagined in 1934 by Sidney S. Cohen, the Apollo has since become a cultural cornerstone in African American music and performance. Its legacy as a launchpad for generations of Black artists makes this revitalization a significant investment in both history and the future of the arts.

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