DALLAS — KeyBank Real Estate Capital has provided NexPoint Residential Trust (NYSE: NXRT) with an $807.5 million Freddie Mac loan to refinance debt on 19 garden-style, market-rate multifamily properties across Texas, Florida, Nevada, Georgia, Arizona and North Carolina. NexPoint is a publicly traded real estate investment trust based in Dallas.
Various properties in the portfolio are equipped with smart home technology, as well as a variety of individual and community amenities.
Creekside at Matthews, for instance, is a 240-unit complex located in the Matthews suburb of Charlotte, North Carolina. The property offers one-, two- and three-bedroom floor plans with features such as slate or stainless steel appliances, washers and dryers, patios and garden-style bathtubs. Community amenities at Creekside include a playground, business center, clubhouse, courtyard, nature trail, a swimming pool and Wi-Fi in common areas.
Meanwhile, Silverbrook Apartments in Grand Prairie, Texas, comprises 642 one-, two- and three-bedroom units and includes community amenities such as a business center, fitness center, dog park, volleyball court, tennis court, picnic area and three swimming pools. Individual units feature washers and dryers, ceiling fans, fireplaces and private patios.
Christopher Black, Brendan O’Keefe and Christopher Neil of KeyBank’s Commercial Mortgage Group originated and structured the loan.
The new loan now represents 47.7 percent of NexPoint’s total debt. The new financing features a floating rate set at 155 basis points over the Secured Overnight Financing Rate (SOFR). NexPoint says it will use $245 million of the proceeds to pay down the outstanding principal balance of the company’s most expensive debt capital, the corporate credit facility.
This refinancing also extends the company’s weighted average debt maturity schedule to approximately 6.34 years (up from approximately 3.33 years) and reduces the debt maturing through 2024 to 5.5 percent of total debt, down from 44 percent previously.
NexPoint’s stock price opened at $44.90 per share on Friday, Jan. 20, down from $78.40 one year ago.
— Channing Hamilton