Trending Multifamily News
Berkadia announces it has arranged a $37 million loan to refinance Ascent at Jones Valley, a 431-unit apartment and townhome community in Huntsville, Alabama. Senior Managing Director Charles Foschini, Managing Director Christopher Apone and Vice President of Originations Lourdes Carranza-Alvarez of Berkadia South Florida arranged the loan on behalf of Georgia-based Wicker Park Capital Management, a privately held real estate investment firm based in Savannah, Georgia.
Fannie Mae provided the fixed-rate, five-year term loan, with partial interest-only, at a 65 percent loan-to-value ratio.
"The expertise and track record of Wicker Park and attractive five-year execution from Fannie Mae provided for a seamless transaction in an otherwise volatile capital markets environment,” said Apone.
“The Jones Valley apartment community is located in one of the hottest metros in the entire U.S,” added Foschini. “It’s in the rapidly expanding Jones Valley corridor of Southeast Huntsville and offers an outstanding opportunity to invest in a proven value-add asset in a top-five market for rent growth.”
Located at 1225 Willowbrook Drive South East, Ascent at Jones Valley was built in 1978 and offers one-, two- and three-bedroom apartments and townhomes that range from 705 square feet to 1,470 square feet. Select units have been remodeled with modern finishes such as granite countertops, new appliances, LVP flooring, subway tiled backsplashes and upgraded bathroom vanities. Community amenities include two swimming pools, a fitness center, a coffee and tea bar, pet park and play area, a playground, a resident business center, a tennis/pickleball court and grilling and picnic areas.
Ascent at Jones Valley is located in the epicenter of “the Silicon Valley of the South,” just minutes away from NASA’s Marshall Space Flight Center, Cummings Research Park, Redstone Arsenal reservation, Huntsville Hospital, The University of Alabama Huntsville, the Valley Hill Golf and Country Club, Downtown Huntsville and the Jones Family Park.
NEW YORK – Berkadia announces it has secured programmatic equity from a global institutional investor to finance Indiana-based The Sterling Group’s recapitalization of three apartment communities located in North Carolina, South Carolina and Tennessee.
Cody Kirkpatrick, Noam Franklin, and Chinmay Bhatt of Berkadia JV Equity & Structured Capital secured the equity partner.
“The Sterling Group is a very experienced owner/operator and was seeking a strategic investment to augment the growth and vision of the firm moving forward,” said Kirkpatrick. “We are pleased to complete the recapitalization, which enabled Sterling Group to seed three Class A assets that they originally developed and managed and position the communities for the future.”
“The Sterling Group is fortunate to have built long lasting relationships,” said Lance Swank, President and CEO of Sterling Group. “Our long-standing relationship with Berkadia has once again led to the collaborative execution of another creative transaction. All parties worked very hard during a tremulous 2022 to structure and close these transactions. We are thankful to have the opportunity to partner and work with others who share our values and commitment to excellence.”
The properties in the recapitalization are as follows:
Wellsley Park at Deane Hill, a 358-unit garden-style multifamily community located at 7300 Sir Walter Way in Knoxville, Tenn.
Apartments @ Eleven240, a 271-unit garden-style community located at 11240 Woolwich St. in Charlotte, N.C.
Enclave at Bailes Ridge, a 246-unit apartment community located at 1004 Bailes Ridge Ave, in Indian Land, S.C., a suburb of Charlotte.
Founded in 1976, Sterling oversees multifamily properties and self-storage facilities in over 12 states through the Midwest and Southeast.
Tampa, Fla. (January 5, 2020) – Berkadia announces it has arranged a loan for the acquisition of Bainbridge Ybor City, a 240-unit luxury apartment community in the Ybor City National Landmark Historic District of Tampa, Fla. Senior Managing Director Mitch Sinberg and Associate Director Matthew Robbins of Berkadia’s South Florida mortgage banking team secured a $41.37 million loan on behalf the sponsor, GMF Capital.
Berkadia originated, and Freddie Mac purchased, the 10-year, floating-rate loan with five years of interest only.
Jared Frydman, Managing Director of Acquisitions with GMF Capital, noted, “This property fits well with our long-term objective of building a portfolio comprising high-quality assets in growth markets with attractive economic and demographic fundamentals. Our team was equally impressed with the quality of Berkadia’s overall execution of this assignment, and we have a great deal of confidence in this team’s ability to help us achieve our long-term business goals.”
Developed in 2017 by Bainbridge Companies, the property is located at 1512 East 12th Avenue in Ybor City, the only neighborhood on Florida’s west coast to be designated a National Historic Landmark District. The property features studio, one- and two-bedroom floor plans with designer touches including hardwood-style flooring; chef-inspired kitchens with large center islands, stainless steel appliances and quartz countertops; in-suite washer & dryer; patio or balcony; oversized walk-in closets; and built-in storage.
Community amenities include a South Beach-style pool and sundeck, 24-hour fitness center, yoga studio and personal training room, clubroom with arcade and catering kitchen, elevator access and secure parking garage, and opulent greenways.
Located within a few steps of the many eclectic bars, restaurants, coffee shops and entertainment venues located along 7th Avenue, the property offers residents a highly walkable, dynamic live-work-play environment, with immediate access to I-4 just 10 minutes from downtown Tampa.
Norcross, GA (August 10, 2020) – Electra Capital, a boutique lender specializing in flexible, short-term multifamily financing solutions, has closed on a preferred equity investment for the refinancing of The Carter @ 4250, a 300-unit apartment community located in Norcross, Georgia. One Real Estate Investment (OREI), a real estate investment and asset management firm based in Miami, owns the property.
Electra’s $3.25 million, 36-month preferred equity investment was structured behind a first mortgage through Freddie Mac and allows the sponsor to refinance the property and complete the renovations, including interior renovations to each unit and exterior renovations to the buildings and grounds. Berkadia arranged both the debt and equity for the transaction.
Electra Capital provides bridge loans from $10 million to $150 million, and mezzanine loans and preferred equity in the range of $5 million to $30 million. This is the second time this year that Electra Capital has worked with OREI; in May of this year, Electra provided $4.09 million in preferred equity for OREI’s acquisition of Element at University Park, a 192-unit apartment community in College Station, Texas.
“Electra continues to provide a vital source of capital to the multifamily industry as we enter the second half of 2020 with a lot of uncertainty and volatility in the market,” said Samuel J. Greenblatt, Electra Capital’s CEO. “We were able to structure and close this deal in eleven days thanks to the sponsor’s strength and our track record and experience in the market.”
Jeronimo Hirschfeld, President and CEO of OREI, added, “OREI is pleased to build on our relationship with Electra Capital as an equity partner. The Carter has seen significant appreciation since buying 18 months ago and we were able to capture some of that value for our partners via a refinance / recap of the preferred equity.”
Originally built in 1985, the Carter @ 4250 is situated at 4250 Jimmy Carter Boulevard. Located under ten minutes away from a variety of restaurants, apartment communities, churches, salons, and stores, the community’s one- and two-bedroom units include variety of personal amenities. Community amenities feature a swimming pool, on-site management, a playground, free weights, a BBQ/picnic area, on-site maintenance, a clubhouse, a laundry center, a fitness center, a club discount, a business center, a sports court, and a dog park.
About Electra Capital
Electra Capital is a privately owned, alternative lender specializing in multifamily financing solutions, providing short-term capital and advisory services to middle-market real estate firms. Back by its affiliates – including Electra America, American Landmark Apartments, and Electra Real Estate Ltd. – Electra Capital’s investment strategy is highly disciplined and deeply rooted in decades of industry, financial and property management experience. Visit www.electracapital.com.