Greystone Closes $88.6M Affordable Housing Financing in Tennessee

NEW YORK — Greystone has closed an $88.6 million multifamily transaction for the acquisition and rehabilitation of 20 aged apartment communities totaling 793 residences in Tennessee. Greystone arranged the transaction on behalf of the owner and operator, The Hallmark Cos. Inc. Greystone worked closely with the Tennessee Housing Development Agency, as well as the USDA’s Rural Housing Service National Office and Tennessee State Office. The financing, which combined both public and private funding, included $28 million in tax-exempt bonds issued by The Health, Educational and Housing Facilities Board of Sevier County, Tennessee. Stifel, Nicolaus & Co. Inc. facilitated the bond issuance. Other capital sources included more than $16 million of Low Income Housing Tax Credits, the assumption of $21.8 million of original USDA Section 515 debt, $21.9 million of senior debt and $830,000 in additional funds.