DEARBORN, MICH. — District Capital has secured a $25.1 million first mortgage loan for a 622-bed student housing community at the University of Michigan – Dearborn. Mike Lemon of District Capital arranged the nonrecourse loan through a bank. The loan features a five-year term, fixed interest rate, one year of interest-only payments and a 30-year amortization.
CHICAGO — Walker & Dunlop Inc. has arranged $22.6 million in equity for Parkside 5, the fifth and final phase of the Parkside at Old Town development, a 99-unit community located on the former Cabrini-Green public housing site in Chicago’s Near North Side. Jennifer Erixon led the Walker & Dunlop team that syndicated Low-Income Housing Tax Credits and Illinois Donation Tax Credits on behalf of the borrower, Holsten Real Estate Development Corp. Walker & Dunlop Affordable Equity syndicated the equity to JP Morgan, resulting in $22.6 million of equity to support the development. In addition to syndicating the credits, JP Morgan is also providing a construction loan. The funding will support the construction of a mix of market-rate and affordable units, with 37 of the units benefitting from a 20-year Section 8 Housing Assistance Payment contract. The affordable units will be reserved for households earning between 50 and 60 percent of the area median income. Parkside 5 will feature three three-story, walk-up buildings and an eight-story mid-rise structure with townhome units at its base. Planned amenities include a community room, fitness center and onsite social services for residents. A playground and dog park will be open to the community.
CHARLOTTE, N.C. — McShane Construction Co., working on behalf of developer Flournoy Development Group, has completed Ellison Mallard Creek, a 397-unit apartment community located at 930 W. Mallard Creek Church Road in Charlotte. Situated on 24.6 acres, the wood-frame property features five apartment buildings and 10 townhome-style buildings that house one-, two- and three-bedroom units. Additionally, 10 units come with a downstairs workspace that allows residents to have an office or small storefront. Monthly rental rates range from $1,411 to $2,800, according to Apartments.com. Designed by Dynamik Design, amenities at Ellison Mallard Creek include a resident lounge with gaming and entertainment areas, a fitness and wellness center, coworking lounge, hobby and art studio, market, heated resort-style pool, courtyards with fire pits, green space, dog park, pet spa and electric vehicle charging stations. McShane Construction is currently building three other apartment communities on behalf of Flournoy.
LEWISVILLE, TEXAS — Cushman & Wakefield has brokered the sale of Heritage Towers, a 282-unit apartment complex located in the northern Dallas suburb of Lewisville. Completed in 2023, the property offers one- and two-bedroom units and amenities such as a pool, fitness center, dog park, clubhouse with a coffee bar and outdoor grilling, dining and gaming areas. Asher Hall and Grant Raymond of Cushman & Wakefield represented the seller, Dallas-based Huffines Communities, in the transaction. The buyer and sales price were not disclosed.
NEW YORK CITY — A partnership between Triangle Equities and The Michaels Organization has begun leasing a 40-story apartment building located at 111 Willoughby St. in downtown Brooklyn. Designed by GF55 and known as Maxwell Downtown Brooklyn, the building offers 227 units, 69 of which are designated as affordable for renters earning 130 percent or less of the area median income. Residences come in studio, one- and two-bedroom floor plans and are furnished with stainless steel appliances, quartz-stone countertops, tile backsplashes and in-unit washers and dryers. Amenities include multiple lounging areas, a coworking zone, gaming area, private dining and party room and a resident-only coffee bar, as well as a landscaped roof deck with dining and lounge seating, a viewing bar and grilling stations. The partnership, which also includes financiers Geolo Capital and Helaba Bank, developed the property via a ground lease with The Roman Catholic Archdiocese of Brooklyn. Information on starting rents was not disclosed.
WEST COVINA, CALIF. — Marcus & Millichap has arranged the sale of Fernwood Terrace Apartments in West Covina. A private investor acquired the asset from Fernwood Terrace Apartments LLC for $9.5 million. Gordon Reese of Marcus & Millichap represented the seller, while Tyler Leeson and Drew Holden of Marcus & Millichap represented the buyer in the deal. Located at 712 S. Fernwood St., Fernwood Terrace Apartments features 30 studio, one-, two- and three-bedroom floor plans with 24 of the units fully renovated. The community offers a swimming pool, onsite laundry, controlled access and 43 parking spaces.
ST. PAUL, MINN. — Merchants Capital has arranged $32.9 million in financing for the construction of East 7th Street, a 60-unit affordable and supportive housing development in St. Paul. Merchants Capital provided $18.9 million in 9 percent Low-Income Housing Tax Credit equity and secured a $14 million bridge loan from Merchants Bank. The project will include 17 units designated for individuals earning up to 30 percent of the area median income (AMI) and 43 units for those earning up to 60 percent AMI. Seven units will be set aside for people with disabilities and seven units will be reserved for high-priority homeless housing via Ramsey County Housing Support Program and Coordinated Entry System. Developed by Project for Pride in Living, the community was designed to accommodate “grandfamilies” with large family kinship. East 7th Street will offer one- to five-bedroom apartments. Amenities will include a fitness center, package lockers, onsite management and maintenance, bike storage, a playground, lounge area, conference room and storage units. Construction began in December and is expected to be completed in 12 months.
NEW ROCHELLE, N.Y. — Locally based owner-operator BRP Cos. has completed The Leaf, a 477-unit multifamily project located north of New York City in New Rochelle. The 26-story building is located in the city’s downtown area and offers one- and two-bedroom units, 119 of which are dedicated as affordable housing. Specifically, 20 units are reserved for households earning 50 percent or less of the area median income (AMI), while 99 residences are earmarked for renters earning 60 percent or less of AMI. The community also features approximately 20,000 square feet of amenity space that includes a pool, fitness center, coworking lounge, rooftop deck and dog run, as well as 3,000 square feet of ground-floor retail space. Construction began in early 2022.
ATLANTA — Affordable housing is facing a tumultuous second half of the year. Tariffs on building materials such as lumber, steel and aluminum are slowing development activity as they elevate construction costs. Investment sales are also likely to be impacted by unstable economic conditions in the affordable housing sector, where many transactions are conducted within a limited budget due to the nature of income restrictions for renters. Amid high costs and trade uncertainty, many investors are making the decision to stay on the sidelines or invest in markets with more stable conditions. Editor’s note: InterFace Conference Group, a division of France Media Inc., produces networking and educational conferences for commercial real estate executives. To sign up for email announcements about specific events, visit www.interfaceconferencegroup.com/subscribe. “The most experienced, best qualified buyers are being careful about what they purchase,” said Kyle Shoemaker, a managing director at Affordable Housing Investment Brokerage. The Downers Grove, Illinois-based company arranges acquisitions and dispositions of Section 8, Section 42, low-income housing tax credit (LIHTC) and tax credit housing. “The affordable housing sector was heated in 2021,” Shoemaker continued. “At that point in time, we were getting more calls than ever from multifamily investors who were interested in entering the affordable …
DALLAS — Dallas-based financial intermediary BMC Capital has arranged $67.6 million in financing for a multifamily property located in the greater Austin area. The name and address of the garden-style property, which totals 300 units and was built in 2024, were not disclosed. The financing consists of a $53.5 million senior bridge loan and a $14.1 million preferred equity investment. Noah Laredo led the BMC Capital team on the placement of the financing, the debt component of which was structured with a three-year term and a 97 percent loan-to-cost ratio. The names of the direct lender, a Florida-based life insurance company, and borrower, a Texas-based developer, were also not disclosed.
