BOSTON (February 1, 2021) – Berkadia announces it has secured financing for the recapitalization of a multifamily portfolio consisting of 11 individual properties totaling 89 units located throughout the Boston metropolitan area. Senior Managing Director Mitch Sinberg and Associate Director Matthew Robbins of Berkadia’s Boca Raton office, and  Associate Director Wesley Moczul of Berkadia’s Orlando office, secured a $17.5 million loan via Fannie Mae on behalf the sponsor, BT Holland Real Estate.

The 12-year, fixed-rate loan has a 75 percent LTV ratio.

”This is an assemblage of smaller properties in up-and-coming neighborhoods in the greater Boston metro area that are benefiting from strong rent growth dynamics,” said Robbins. “By compiling these properties into one portfolio the sponsor was able to obtain a cross-collateralized loan with more favorable terms and economics.”  

The multifamily properties in the portfolio include: 

·       28 Dyer St, Dorchester, MA 02124 (6 Units, 1920 Vintage)

·       30 Browning Ave, Dorchester, MA 02124 (6 Units, 1920 Vintage)

·       31 Browning Ave, Dorchester, MA 02124 (6 Units, 1900 Vintage)

·       35 Browning Ave, Dorchester, MA 02124 (6 Units, 1920 Vintage)

·       38 Stanton St, Dorchester, MA 02124 (6 Units, 1910 Vintage)

·       54 Fuller St, Dorchester, MA 02124 (6 Units, 1988 Vintage)

·       5 Orlando St, Mattapan, MA 02126 (11 Units, 1965 Vintage)

·       14 Orlando St, Mattapan, MA 02126 (6 Units, 1965 Vintage)

·       14-16-18 Msgr Patrick J Lydon Way, Dorchester, MA, 02124 (15 Units, 1910 Vintage)

·       140 Wellington Hill, Mattapan, MA, 02126 (16 Units, 1965 Vintage)

·       17 Greenwich Park, Boston, MA, 02118 (5 Units, 1910 Vintage)

###

The 370-unit Reserve at Gwinnett in Norcross was acquired earlier this year through Benefit Street Partners’ purchase of Broadtree Residential, Inc.

Norcross, GA  – Berkadia announces it has secured a $37.7 million loan for the refinance of The Reserve at Gwinnett, a 370-unit Class A multifamily community located in Norcross, Georgia. Senior Director Corby Chaffin of Berkadia’s Houston office and Managing Director Michael Weinberg of Berkadia’s Orlando office arranged the financing on behalf Broadtree Residential, Inc.

Freddie Mac provided a 10-year, fixed-rate loan at a 65% loan to value.

Broadtree Residential, Inc. is an open-ended, continuously offered, multifamily fund utilizing a REIT structure designed to offer accredited investors access to multifamily real estate via investment in an institutionally managed private fund. Broadtree Residential, Inc. is managed by Benefit Street Partners L.L.C. a leading credit focused alternative asset management firm with $28 billion in assets under management as of June 30, 2020.

“We are pleased to have a symbiotic relationship with the sponsor on many levels,” commented Weinberg. “Agency financing is so attractive right now that multifamily borrowers are getting great options. Freddie Mac was able to provide incredible terms with a rate sub 3%, fixed for 10 years with significant interest only.”

Michael Comparato, Head of Commercial Real Estate at Benefit Street Partners, commented, “We have a long-standing relationship with Berkadia and are thrilled with their performance and execution on this transaction. This is an excellent refinance for the REIT and its shareholders, locking in long-term, fixed rates at some of the lowest yields in the history of our industry.” 

Built in 1999, The Reserve at Gwinnett consists of 14 residential buildings containing one-, two- and three-bedroom units ranging in size from 959 square feet to 1,555 square feet.  All units feature open floorplans, walk-in closets, and a patio or balcony. The property also includes 12 attached and 18 detached garages, along with ample surface parking for residents. The community offers numerous attractive amenities, including a modern fitness center, clubhouse and business center, resort-style swimming pool, grilling area, dog park, and lighted tennis courts.

The Reserve at Gwinnett is conveniently located just off I-85, 10 minutes from Gwinnett Village and downtown Norcross, and 30 minutes from Atlanta, Georgia.

• The 218-unit AMLI Flagler Village was acquired with a $43.25 million loan from Freddie Mac

Fort Lauderdale, Fla. –  Berkadia secured financing for Jenco Properties to acquire AMLI Flagler Village, a condo-quality, mid-rise multifamily property  consisting of 218 loft-style apartments and 7,200 square feet of ground-floor office space in the Flagler Village neighborhood of Fort Lauderdale, Fla. Senior Managing Director Charles Foschini and Managing Director Chris Apone of Berkadia’s Miami-based Mortgage Banking team secured $43.25 million in financing for Jenco. The property will be renamed Aviah Flagler Village.

 Berkadia originated, and Freddie Mac purchased, the 10-year, fixed-rate loan with full-term interest only.

 “This loan continues the unique relationship that Berkadia and Freddie Mac shares with its borrowers,” said Foschini. We were able to place a loan with an extremely aggressive interest-only rate for the client which secures continuation of cash flow for years to come. While every transaction has its challenges, the pressure was immense in this one as it required first finding a replacement asset for the family at a time when many assets have been pulled from the market, and secondly, ensuring the loan came together in a way that allowed the acquisition and protected the investment. The Freddie Mac loan achieved all of those goals.”

Located at 440 NE 4th Avenue, AMLI Flagler Village was built in 2009 and is a condo-quality asset uniquely featuring loft-style units averaging 1,047 square feet (among the largest in this submarket), first floor private yards, and captivating community amenities. One-, two- and three-bedroom units range in size from 675 to 1,355 square feet. Amenities include a resort-style swimming pool with sundeck, a two-story, 24-hour fitness center with strength and cardio training zones; a Yoga, spinning, and aerobic studio; a cyber lounge and private dog park and paw wash; and a 24/7 controlled access Luxer One package room. The former owner completed $1.3 million in capital improvement projects around the property since 2017.

The property is ideally located in Flagler Village, an emerging arts neighborhood in Fort Lauderdale’s downtown that is home to dozens of eateries, markets, boutiques and galleries, most unique to this area. With a 93 Walk Score, the property has access to rapidly expanding nearby amenities and the most active employment market in Broward County. The property is just blocks away from Fort Lauderdale’s Brightline train Station, offering direct service to Miami and West Palm Beach now, and eventually Orlando and Tampa.

Scott Plaza was sold to LEDG Capital

HOUSTON– Berkadia announces it has arranged the sale of Scott Plaza, a 150-unit apartment community located in Houston, Texas. Associate Director Scott Bray, Senior Managing Director Ryan Epstein and Senior Director Jennifer Ray of Berkadia’s Houston office, together with Berkadia Affordable, marketed the property on behalf of the seller, Scott Plaza Associates Ltd. LEDG Capital purchased the property.

“Scott Plaza is located in a qualified census tract and designated Opportunity Zone, and the property maintains a 20-year project-based Section 8 HAP contract covering 70% of its units. The acquisition furthered LEDG Capital’s commitment to preservation of existing affordable housing stock as an essential element of community development,” said Bray.

The buyer plans to continue the vision of the previous owner (who owned the community for nearly 20 years) by making additional improvements to the property and surrounding area. The buyer and seller both worked together to get this transaction completed despite some of the unique challenges posed by the COVID-19 pandemic.

Located at 9703 Scott Street in the Sunnyside neighborhood of south Houston, Scott Plaza was built in 1970 and is a two-story garden-style property featuring two-bedroom townhome floor plans. Average unit sizes are 858 square feet.

Scott Plaza is conveniently located just five minutes from State Highway 288 and Interstate 610, and five miles south of the Texas Medical Center, the largest medical district in the world.

Laredo, Tex. (July 21, 2020) – Berkadia announces it has arranged the sale and financing of Lago del Mar Apartments, a 260-unit garden-style apartment community located in Laredo, Texas. Senior Managing Director Ryan Epstein of Berkadia’s Houston office, along with Managing Director Mike Miller, Senior Director Will Caruth and Director Cody Courtney of Berkadia’s San Antonio office, represented the seller, a Chicago-based real estate investment management firm. 

Senior Managing Director Cutt Ableson of Berkadia’s Houston office procured financing for the buyer, Haley Real Estate Group, through Fannie Mae.

“Lago del Mar is a vintage apartment complex in an excellent location that was primed for a value-add execution,” said Epstein. “Located in the economic epicenter of the Rio Grande Valley, the city of Laredo continues to benefit from economic drivers including steady growth in shale oil and gas production, infrastructure construction, and growth in logistics and warehousing, all of which brings more business to town each year.”

Added Miller, “In addition, the property benefited from limited competition, with no comparable multifamily properties currently in lease-up, under construction or proposed within five miles.”

Built in 2000/2003 and located at 7550 Country Club Drive, Lago del Mar Apartments offers a range of one-, two- , and three-bedroom floor plans averaging 776 square feet. Units feature walk-in closets, nine-foot ceilings, patios or balconies, and a full-sized washer/dryer. Community amenities include a resort-style swimming pool, clubhouse, fitness center, dog park, playground and controlled-access gate. The property is ideally located within seven miles of downtown Laredo, two miles of Texas A&M University, and just four miles from Laredo International Airport.