CREST HILL, ILL. — Dougherty Mortgage LLC has arranged a $13 million Fannie Mae loan for the refinancing of Willow Run of Crest Hill, located just north of Joliet. The apartment property, built in 1972, consists of 211 units. The 10-year loan includes a 30-year amortization schedule. Dougherty’s office in Oak Brook, Ill. arranged the loan.
MOORESVILLE, N.C. — KeyBank Real Estate Capital has arranged a $27.8 million Freddie Mac loan for Carriage Club Apartments, a 268-unit apartment community located in Mooresville, about 28 miles north of Charlotte. The property was built in 2000 and renovated in 2005. Timothy DeWispelaere of KeyBank arranged the three-year, interest-only loan, which the borrower will use to acquire and renovate Carriage Club.
RALEIGH, N.C. — Covenant Capital Group has sold Regency Place Apartments, a 180-unit, garden-style apartment community located at 6210 St. Regis Circle in west Raleigh. Towne Properties purchased the property, its first acquisition in the Southeast, for $20.8 million free and clear of existing debt. Regency Place comprises nine three-story buildings with a mix of one- and two-bedroom units averaging 848 square feet. Covenant Capital Group upgraded the property’s amenities, exteriors and unit interiors over the past two years. Justin Good, Allan Lynch, Jeff Glenn and Jason Nettles of HFF represented the seller in the transaction.
NEWPORT BEACH, CALIF. — Lyon Living has received $388.4 million in loans to refinance a seven-property multifamily portfolio located in California and Colorado. The 2,152-unit portfolio consists of Trabuco Highlands in Trabuco Canyon, Calif.; The Vineyards in Anaheim, Calif.; The Arbors in Lake Forest, Calif.; Sedona in Placentia, Calif.; Monarch Coast in Dana Point, Calif.; Capistrano Pointe in San Juan Capistrano, Calif.; and Autumn Chase in Highlands Ranch, Colo. The portfolio was 94 percent leased at the time of financing. Charles Halladay, Sebastian Trujillo and Lauren LaFever of HFF worked on behalf of Lyon Living to secure the financing in seven separate loans placed with Freddie Mac’s CME Program. HFF will service the securitized loans, each of which has a fixed-rate term of 10 years with a minimum five years of interest-only payments. Loan proceeds were used to refinance expiring debt on the properties. Newport Beach-based Lyon Living develops, owns and operates a portfolio of multifamily communities in California, Colorado, Georgia and Florida. — Katie Sloan
Rent an apartment or buy a home? That is the question now posed to many Millennials as they face the facts about the high barriers to homeownership that generations before them, at the same stage of life, could easily overcome. But since the Great Recession and the loose homeownership qualifications that helped spawn it, banks and other home-lending institutions have been under the tight-fisted control of government regulators who have demanded, rightly or wrongly, that prospective homeowners meet strict and often daunting qualifications to buy a house. While that’s bad news for a generation that was raised by families who owned homes and where a home was the primary financial asset for inheritance, it’s good news for multifamily investors, developers and contractors. The demand for apartments has risen to levels eclipsing demand for homeownership in one of the few times in modern history. This is especially true in Orange County where home prices have always been among the highest in the nation. In fact, demand among multifamily investors is so strong that nearly every recent offering for well-located apartment properties has garnered multiple offers, creating a perfect-storm situation for the sellers. One sale that involved an investment portfolio of four …
SALEM, ORE. — CBRE has arranged $72.5 million in financing for the acquisition of The Bonaventure Portfolio, five independent living and assisted living communities throughout the states of Washington and Oregon. NorthStar Healthcare Income, a non-traded REIT, acquired the portfolio, which totals 453 units. Based in Salem, Ore., Bonaventure is a family of companies that develops and operates seniors housing properties in the West. The company operates 24 properties in three states. Aron Will and Matthew Whitlock, both of CBRE National Senior Housing, arranged the 10-year, fixed-rate loan with 24 months interest-only payments through its Fannie Mae DUS Multifamily loan origination program.
STAMFORD, CONN. — CBRE has secured $51 million in financing for the acquisition of 66 Summer Street, an apartment building located in Stamford. The borrower was KC Summer Street Owner LLC, a joint venture between The Kabr Group and Ceruzzi Properties. Freddie Mac provided the eight-year, fixed-rate loan with full funding based on pro forma, as the property is still in its lease-up period. The newly constructed property features 209 luxury apartment units. Mark Fisher, Jason Gaccione, Alex Furnay, Irene Lu and Michael Ricco of CBRE facilitated the loan for the borrower, while CBRE Capital Market’s Investment Sales team represented the seller in the deal.
WINDSOR, NEWINGTON AND BLOOMFIELD, CONN. — Eastern Union Funding has arranged three loans totaling $35.9 million to refinance three multifamily properties in Connecticut. The borrower was a New York-based private investment firm. Totaling 369 units, the properties are Williamsburg Apartments, 250 Bloomfield Ave. in Windsor; Northwood Apartments, 215 Lowrey Place in Newington; and Manor House Apartments, 14-2 Revere Drive in Bloomfield. Customers Bank provided the financing.
NEW YORK CITY — New York Residence Inc. has brokered the purchase of a multifamily and retail building located at 165-167 Williams St. in downtown Manhattan. A private European equity fund acquired the 31,000-square-foot property from an investor group led by Eli Tabak of Bluestone Group for an undisclosed price. Originally built in 1907 as an office building, the 10-story building features ground-floor retail space, leased to Downtown Pharmacy, and 12 apartments on the upper floors. Thomas Guss and Saul Lalic of New York Residence Inc. represented the buyer, while Victor Sozio and Jesse Greshin of Ariel Property Advisors represented the seller in the transaction.
PAYSON, ARIZ. — MidCap Financial has arranged a $4.5 million bridge-to-HUD loan to refinance Compass Senior Living’s Majestic Rim Retirement Living, located in the Phoenix suburb of Payson. Majestic Rim is a 50-unit independent living facility built in 2006. Compass purchased the property in 2014 as an underperforming asset. MidCap’s bridge loan will refinance existing debt on the property.
