DELAWARE, OHIO — Berkadia has provided a $16.5 million Fannie Mae loan for the refinancing of Flats on Houk in Delaware, about 30 miles north of Columbus. The 168-unit, garden-style community is located at 1000 Solomon Square. Amenities include a picnic area, pool, fitness center, recreation room, clubhouse, dog park and community garden. Scott Wilkie and Evan Ballmann of Berkadia’s Columbus office originated the 10-year loan, which features a 2.9 percent interest rate and a 55 percent loan-to-value ratio.
ROSELLE PARK, N.J. — Greystone has arranged a $65 million construction loan for a 325-unit multifamily project at 10 Westfield Ave. W. in the Northern New Jersey community of Roselle Park. The project will include the development of 16,000 square feet of retail space and a 518-space parking garage and an amenity package that consists of a courtyard, lounge, fitness center and meeting rooms. ACORE Capital provided the loan to Capodagli Property Co. Drew Fletcher, Miryam Kops and Bryan Grover of Greystone placed the debt. Completion is slated for 2023.
Challenges abound for seniors housing: occupancies at historic lows, widespread outbreaks in 2020, steeply increased operating expenses all contribute to the industry difficulties Matt Pipitone, Seniors Housing Platform manager, M&T Realty Capital Corp., outlines when discussing the seniors housing outlook for 2021. When discussing this year and what needs to happen for the industry to recover, Pipitone explains, “The focus will be on the occupancy rebound. How much pent-up demand is there? We expect there to be some improvement in the near-term occupancies as they start climbing back towards more stabilized levels. However, it remains to be seen how quickly things will ramp back up. Each market will be different.” How have occupancy pressures impacted rents and incentives? How will newer projects continue to lease up? Pipitone knows there are many questions, but says “Overall, we hope to see things gradually improve throughout the rest of 2021. We still have a lot of confidence in our clients. They’re resilient, passionate about their residents (and residents’ families and staff) and they’ll persevere.” Watch as Pipitone discusses Fannie, Freddie, refinancing, bank involvement, lasting impacts from the pandemic and much more. This article is posted as part of REBusinessOnline’s Finance Insight series. Click here to …
SAN ANTONIO — Lument, a subsidiary of ORIX Capital USA, has provided a Freddie Mac loan of an undisclosed amount for the refinancing of Horizon Hill, a 273-unit multifamily asset in San Antonio that was built in 1982. John Sloot of Lument originated the debt, which was structured with a 10-year term, four years of interest-only payments and a 30-year amortization schedule. The sponsor, REEP Equity, purchased the property in 2018 and has since implemented a value-add program.
NEW YORK CITY — Ariel Property Advisors has arranged a $4.7 million loan for the refinancing of a 42-unit multifamily building located at 500 W. 111th St. in Manhattan’s Morningside Heights neighborhood. Matt Swerdlow and Matt Dzbanek of Ariel Property Advisors placed the debt, which was structured with a fixed interest rate of 10 percent for three years and a 40-year amortization schedule, through an undisclosed New Jersey bank. The undisclosed borrower will use a portion of the proceeds to fund capital improvements.
SEATTLE — Taylor Street Capital Partners has arranged $3.5 million in cash-out refinancing for an apartment community located in downtown Seattle. Taylor Street secured a non-recourse, 10-year, fixed-rate note with all reserve requirements waived for the out-of-state borrowers. The borrowers own the 23-unit asset and were looking to replace a previous note with a long-term, low-interest-rate solution to maximize cash flow and provide funding for additional capital improvements at the property.
Ralph Cram, President of Envoy Net Lease Partners, LLC, is seeing dramatic change in the net lease space in 2021: in the past couple months he’s seen cap rates with 25 to 35 basis point drops on active deals, increased 1031 exchange activity and robust interest in net-lease properties. “What we’ve really seen in the last six months is the demand for investment-grade, net-lease properties has skyrocketed — partly because people aren’t buying nonessential or non-investment-grade tenants.” There is a supply constraint though: with many 2020 projects delayed, Cram anticipates 12 months before supply can reach the market — making for a tight market. Finance criteria for net lease clients, construction loan programs, development risks, outlining the process for lending overall and 2021 goals are concepts covered in this video interview for Finance Insight. This article is posted as part of REBusinessOnline’s Finance Insight series. Click here to subscribe to the Finance Insight newsletter, a four-part newsletter series, followed by video interviews delivered to your inbox in March.
PALM BEACH GARDENS, FLA. — Cushman & Wakefield has secured a $25.4 million loan to refinance Corporate Center at the Gardens located in Palm Beach Gardens. Jason Hochman, Mike Ciadella and Ron Granite of Cushman & Wakefield secured the new long-term, non-recourse loan through BankUnited on behalf of the owners, Alchemy-ABR Investment Partners and Breakers Capital Partners. Gavin Loughlin and John Litan at Greenberg Traurig served as Alchemy-ABR-BCP’s legal counsel in the refinancing. Located at 4200-4400 Northcorp Parkway, the 114,123-square-foot Corporate Center at the Gardens has been nearly 100 percent occupied since Alchemy-ABR-BCP’s acquisition. The building serves as the corporate headquarters for Garden of Life – Nestle, Olympus Insurance and The Weiss Group. Additionally, the property is the only South Florida location for Oxford Global Resources. Alchemy-ABR Investment Partners, based in New York City, is a fully integrated real estate investment and development company.
SOUTHLAKE, TEXAS — Locally based financial intermediary Terrydale Capital has arranged a $1.7 million acquisition loan for a retail property in the Fort Worth suburb of Southlake. Driver’s Edge Auto Repair occupies the single-tenant property. Quinn Conway of Terrydale Capital arranged the loan, which was structured with a fixed 3.25 percent interest rate for five years and a 25-year amortization schedule, through an undisclosed bank. The borrower was also undisclosed.
CLEVELAND — KeyBank has structured $13 million in construction financing for Via Sana, a 72-unit affordable housing project in Cleveland. The NRP Group LLC, The MetroHealth System and CCH Development Corp. are serving as developers. Via Sana is part of a $60 million mixed-use project being spearheaded by MetroHealth in the city’s Clark-Fulton neighborhood. Rents at the property will be offered at 15 to 75 percent below market rents. Project-based vouchers will be used for eight of the units. In addition to residences, Via Sana will include more than 5,000 square feet of commercial space as well as conference rooms and classrooms reserved for MetroHealth’s Economic Opportunity Center.