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CBRE Arranges $156.8M in Financing for Multifamily Portfolio in Washington, Oregon

by Scott Reid

LOS ANGELES — CBRE Capital Markets’ Debt & Structured Finance team (NYSE: CBG) has arranged $156.8 million in financing for the acquisition of a six-property, 1,413-unit multifamily portfolio located in Washington and Oregon.

The properties included in the transaction are:

  • Alderwood Park, located in Lynnwood, Wash.; 188 units
  • Boulder Creek, located in Wilsonville, Ore.; 296 units
  • Bridge Creek, located in Wilsonville, Ore.; 315 units
  • Ridgegate, located in Kent, Wash.; 153 units
  • Ridgetop, located in Silverdale, Wash.; 221 units
  • The Wellington, located in Silverdale, Wash.; 240 units

Brian Eisendrath and Cameron Chalfant of CBRE’s Beverly Hills office arranged the financing from a single lender on behalf of Los Angeles-based TruAmerica Multifamily. CBRE secured seven-year, fixed-rate loans with three years of interest-only payments on four of the properties, with a blended interest rate of 3.85 percent.

The remaining two properties were financed with floating-rate loans with three years of interest-only payments and a starting rate of 2.6 percent. TruAmerica will implement a value-add renovation program upon acquisition.

“[Eisendrath and his team] provided aggressive financing and were able to increase proceeds by more than $5.4 million from application to closing, which will help us to reposition these well-built assets,” says Robert Hart, CEO and president of TruAmerica.

TruAmerica’s Pacific Northwest expects its portfolio to include more than 6,000 units by the end of the year. With this closing, TruAmerica has invested more than $500 million in the Pacific Northwest since June.

TruAmerica is a value-add multifamily investment firm founded in July 2013 as a joint venture between Robert Hart and The Guardian Life Insurance Company of America. The firm manages a $4.3 billion portfolio of more than 21,000 units across the western United States.

CBRE is the world’s largest commercial real estate services and investment firm with more than 70,000 employees and more than 400 offices worldwide.

CBRE’s stock price closed on Monday, Oct. 12, at $33.34 per share, up from $28.43 per share a year ago.

— Scott Reid

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