NORRISTOWN AND PERKASIE, PA. — Ready Capital has closed two loans for the acquisition, renovation and lease-up of two Class B, industrial properties in Pennsylvania. The properties are located in Norristown and Perkasie, two northern suburbs of Philadelphia. The two buildings comprise approximately 220,000 square feet. Upon acquisition, the sponsor will implement capital improvements at each property, while simultaneously leasing to market occupancy. The nonrecourse loans are structured with floating interest rates, 36-month terms, two extension options, flexible prepayment and facilities to provide future funding for capital expenditures, tenant leasing costs and interest and operating shortfalls. The loan amounts, property names and sponsors were undisclosed.
SAN FRANCISCO — Ready Capital has closed a $14.5 million loan for the acquisition, renovation and lease-up of an approximately 30,000-square-foot, Class B office building located in San Francisco’s SOMA district. Upon acquisition, the undisclosed sponsor plans to implement capital expenditures to convert the building to premier creative office/industrial hybrid. The non-recourse, floating-rate loan features a 36-month term, two extension options and flexible prepayment. Additionally, the loan is inclusive of a facility to provide future funding for capital expenditures, leasing costs and interest shortfalls.
CHICAGO — Ready Capital has closed on a $7.7 million loan for the acquisition, renovation and stabilization of a 52-unit, Class B multifamily and retail property within Chicago’s Edgewater neighborhood. The sponsor will complete capital improvements to all units, upgrade common-area amenities and renovate the ground-floor retail spaces. The nonrecourse, interest-only loan features a floating rate, 36-month term, two extension options, flexible pre-payment and is inclusive of a credit facility to provide future funding for capital expenditures, tenant leasing costs and interest shortfall. The name of the borrower and property were not disclosed.
PALOS HILLS, ILL. — Dougherty Mortgage LLC has provided a $2.6 million Fannie Mae supplemental loan for the refinancing of Green Oaks Apartments in Palos Hills, about 20 miles southwest of Chicago. The 384-unit apartment complex, built in 1965 and rehabbed in 1998, is comprised of 14 buildings. The loan features a five-year and one-month term and is amortized over 30 years. The borrower was Green Oaks at Palos Hills LP.
MYRTLE BEACH, S.C. — Ready Capital has closed a $10.2 million refinance loan for a three-property, 1,796-unit self-storage portfolio in Myrtle Beach. The undisclosed borrower will use the funds to pay off existing debt and lease-up the three undisclosed properties. The non-recourse loan comes with a three-year term and offers a floating interest rate with two extension options and flexible prepayment options. Further details of the portfolio were not disclosed.
WASHINGTON, D.C. — An estimated $163.2 billion of the $2.2 trillion of outstanding commercial and multifamily mortgages held by non-bank lenders and investors will mature in 2020, a 48 percent increase from the $110.5 billion that matured in 2019, according to the Mortgage Bankers Association’s (MBA) Commercial Real Estate/Multifamily Survey of Loan Maturity Volumes. The results were released at the 2020 Commercial Real Estate Finance/Multifamily Housing Convention & Expo in San Diego. The four-day conference ends today. “Commercial and multifamily mortgage maturities will rise this year from the low levels of the past two years,” says Jamie Woodwell, MBA’s vice president of commercial real estate research. “Given the long-term nature of many commercial mortgages, maturities remain muted, with just 7 percent of the total balance of non-bank-held mortgages maturing in 2020.” Life insurance companies will see $24.8 billion, or 4 percent of their outstanding mortgage balances, mature this year. Among loans held in CMBS financing, $67.2 billion, or 11 percent, will come due. Only $11.9 billion (2 percent) of the outstanding balance of multifamily and healthcare mortgages held or guaranteed by Fannie Mae, Freddie Mac, Federal Housing Administration (FHA) and Ginnie Mae will mature in 2020. Commercial mortgages held by …
LOS ANGELES — Ready Capital has closed a $14.5 million for the renovation and conversion of a 26-unit, Class B, three-property multifamily portfolio into a 69-unit co-living portfolio located in the Brentwood and Westwood submarkets of Los Angeles. Four of the existing units will remain traditional multifamily. The non-recourse, floating-rate loan features a 36-month term, two extension options and flexible prepayment. Additionally, the loan is inclusive of facilities to provide future funding for capital expenditures, tenant buyouts and interest shortfall. Upon acquisition, the undisclosed sponsor will buyout existing multifamily tenants, implement a capital expenditure plan to convert units to co-living and lease up each building.
CINCINNATI — Ready Capital has closed a $4.5 million bridge-to-agency refinancing for a 148-unit, Class B multifamily property in the Winton Hills submarket of Cincinnati. The sponsor will use funds to retire existing debt, continue marking rents to market and implement a utility billing system. The nonrecourse, floating-rate loan features a 24-month term, one extension option and flexible prepayment. The sponsor has the ability to execute a low-cost refinancing with Ready Capital’s Freddie Mac small-balance loan program. The name of the borrower and property were not disclosed.
CONROE, TEXAS — JLL has arranged a loan of an undisclosed amount for the refinancing of 336 Marketplace, a 471,752-square-foot retail power center in Conroe, about 40 miles north of Houston. The center is situated on 72 acres and houses tenants such as Kroger, Michaels, Dick’s Sporting Goods, Marshalls, Five Below, Ross Dress for Less, HomeGoods, Ulta Beauty, DSW and Burlington. Colby Mueck, Molly Leinsdorf and Tolu Akindele of JLL arranged the nonrecourse, fixed-rate loan through The Guardian Life Insurance Co. of America on behalf of the borrower, Fidelis Realty Partners.
LAKE JACKSON, TEXAS — Ready Capital has closed a $4.8 million loan for the acquisition, renovation and stabilization of a 72-unit apartment community in the South Brazoria County submarket. Upon acquisition, the sponsor will address deferred maintenance and upgrade existing units. Ready Capital closed the nonrecourse, floating-rate loan, which features a 36-month term, two extension options, flexible prepayment and a facility to provide future funding for capital expenditures. The property name and sponsor were not disclosed.