POTSDAM, N.Y. — KeyBank Real Estate Capital has provided a $15 million Freddie Mac acquisition loan for Lawrence Avenue Apartments, a 137-unit multifamily property in Potsdam, a city in Upstate New York. The property was built in 1980 and comprises five two-story buildings. The borrower, a partnership between N.Y. Community Preservation Partners and Rochester’s Cornerstone Group, plan to refurbish and renovate the property. Robbie Lynn of KeyBank arranged the financing.
WALTHAM, MASS. — Cornerstone Realty Capital has arranged a $3.8 million loan for the acquisition and renovation of Lawton Place, a townhouse-style multifamily community in Waltham, a western suburb of Boston. The buyer, True North Capital Partners, plans to renovate the property and add granite countertops, stainless steel appliances, mounted lighting, in-unit washers and dryers and private patios off the main living space. The loan was structured with interest-only payments for three years and a 30-year amortization schedule. The lender was undisclosed.
KENEDY, TEXAS — Hunt Real Estate Capital has provided a $5.4 million Fannie Mae loan for the refinancing of Kenedy Heights Apartments, a 72-unit multifamily asset located about 60 miles southeast of San Antonio. Built in 2015, the property consists of 24 one-bedroom units, 40 two-bedroom units and eight three-bedroom units that were 98 percent occupied at the time of the loan closing. Amenities include a clubhouse with offices, sport court, community barbecue grills, onsite laundry facilities, a fitness center, a business center with WiFi and a playground. David Aycock of D. Ansley Co. Inc. arranged the seven-year, floating-rate loan with Hunt on behalf of sponsor Kenedy Heights LLC.
TUKWILA, WASH. — Sortis Holdings Inc. (SOHI), a Portland-based private equity firm, has provided equity funding for Tukwila Village Phase II, a mixed-income senior living development in Tukwila, approximately 10 miles south of Seattle. Sortis invested capital from its $100 million Sortis Opportunity Zone Fund alongside project sponsor Bryan Park, a Puyallup, Wash.-based developer that has developed, owns and operates more than 5,000 senior living apartments in Washington. Nonprofit operator Sustainable Housing for Ageless Generations (SHAG) will operate the community. “By 2050, the population of individuals who are 65 and older in the U.S. is projected to double, yet rising rents and lack of supply have reduced the availability of affordable, high-quality housing in desirable locations for this population,” says Paul Brenneke, Sortis founder. “We believe delivering a high-quality project with attractive investment returns while simultaneously providing an affordable housing option to low-income seniors is a win-win.” The two-phase project is situated on approximately 5.8 acres. Phase II comprises 204 apartment units exclusively for seniors, six live/work units, approximately 8,300 square feet of commercial/retail space and structured parking. Once Phase II is complete in late 2020, the combined project will be the third-largest senior living development in Washington, according to …
DUNN LORING, VA., AND SILVER SPRING, MD. — Capital Funding has provided $36.9 million in financing for private equity firm The Portopiccolo Group to acquire two skilled nursing facilities in Dunn Loring and Silver Spring. The properties include the Iliff Nursing and Rehabilitation Center, a 130-bed pediatric and geriatric facility in Dunn Loring, and the Fox Chase Rehabilitation and Nursing Center, a 74-bed geriatric facility in Silver Spring. Accordius Health, an operating platform of The Portopiccolo Group, manages both properties. Tim Eberhardt of Capital Funding originated the acquisition financing, which included a $30.6 million senior loan, $3.8 million mezzanine loan and a $2.5 million accounts receivable line of credit for working capital needs. The financing provided Portopiccolo with 90 percent of total transaction costs as well as a $2.7 million reserve for post-closing renovations.
CAMBRIDGE, MASS. — Urban Spaces, a locally based developer, has secured a $71 million construction loan for Kendall East, a mixed-use development in Cambridge, a northeastern suburb of Boston. People’s United Bank provided the long-term loan. The development will house120 multifamily units, including 16 affordable apartments, and 15,000 square feet of retail space. Across the street, the CambridgeSide shopping center is slated for redevelopment with new office, lab and residential space. Designed by New York-based architectural firm Perkins Eastman, Woburn-based Tocci Building Corp. in building Kendall East.
TEMPE, ARIZ. — Dallas-based Hall Structured Finance (HSF) has funded a new first-lien loan totaling $86.5 million to finance the construction of the full-service Westin Tempe hotel, located at 11 E. Seventh St. in Tempe. The borrower, Las Vegas-based CAI Investments, is developing the project. Construction began in March, with completion slated for second-quarter 2021. The 18-story hotel will feature 290 guest rooms, a rooftop infinity pool, poolside bar, fitness center, full-service restaurant and bar, business center, Starbucks Coffee and more than 10,000 square feet of meeting space. Aden Kuh of Silver Ridge Partners sourced the financing for the project.
AURORA, ILL. — Walker & Dunlop Inc. has provided $12.8 million in bridge financing for The Grove Fox Valley, a 156-bed skilled nursing facility in Aurora, approximately 40 miles west of downtown Chicago. The debt was structured and provided by Walker & Dunlop’s bridge lending program, which utilizes its balance sheet to offer short-term, nonrecourse loans for properties that are being repositioned as part of a new business strategy. Led by Joshua Rosen, the Walker & Dunlop team structured the financing to cover 100 percent of the acquisition cost in addition to working capital and capital expenditures for the owner, Cascade Capital Group. The loan includes a nine-month term, flexible prepayment options and full-term, interest-only payments. The plan is to replace the loan with HUD financing in early 2020.
SOMERVILLE, MASS. — JLL has arranged a $140 million construction loan for 101 South Street, a life science development in Somerville, a northern suburb of Boston. The project represents Phase I of the borrower’s planned mixed-use development, which will include retail and residential components as well as public green space. JLL arranged the financing on behalf of the borrower, a joint venture between New York-based developer DLJ Real Estate Capital Partners and Boston-based developer Leggate McCall Properties. Construction is slated for completion in 2021.
TOTOWA, N.J. — JLL has arranged $11 million in financing for a data center in Totowa, a western suburb of New York City. The property is a 125,871-square-foot facility that was completed in 2009 and is leased to Dallas-based data center REIT CyrusOne. An undisclosed life insurance company provided the permanent loan, which carries a fixed interest rate and a 10-year term. Thomas Didio of JLL arranged the financing for the borrower, Russo Development.