Trending Multifamily News
Greystone, a leading national commercial real estate finance company, has provided a total of $68 million in Fannie Mae financing to acquire a 595-unit multifamily property in Prince Georges County, Maryland. The financing was originated by Dan Sacks and Eric Rosenstock, Managing Directors in Greystone’s New York office, on behalf of Quantum Equities.
The first loan is a $65,860,000, Fannie Mae Delegated Underwriting and Servicing (DUS®) Green Rewards loan that carries a 12-year term and 30-year amortization, with a low fixed interest rate and six years of interest-only payments. The transaction also includes an additional $2,140,000 in Fannie Mae mezzanine financing that carries a 12-year term and 30-year amortization, with full-term interest-only payments. Loan proceeds will be used to continue with ongoing renovations, in addition to purchasing the property.
Borrowers who use Fannie Mae’s Green Rewards program commit to engaging in property upgrades that reduce water and energy consumption.
Constructed in 1963, Regency Pointe is a garden-style apartment community in District Heights that offers 595 one-, two-, and three-bedroom units with modern appliances and finishes, walk-in closets and private outdoor living spaces. Residents can also enjoy the property’s business center, swimming pool and fitness center, picnic and playground areas, on-site laundry facilities and reserved parking. The property is close to retailers and shopping, and offers easy access to Washington DC via the I-495 Capital Beltway and the Washington Metropolitan Area Transit Authority’s Walters Lane bus stop and Suitland metro station.
“We are thrilled that we were able to put together financing terms which are best in class to bring this transaction to life for our client in the current environment,” said Mr. Sacks. “Greystone’s strong partnership with Fannie Mae and industry-leading commitment to service excellence and seamless execution provide our clients with enhanced returns and confidence that their closing is being managed by the best.”
JLL Capital Markets arranged financing for the various properties through Fannie Mae
LOS ANGELES, Feb. 11, 2021 – JLL Capital Markets announced today that it has arranged $172.9 million in financing for 14 multi-housing properties, totaling 1,334 units, located throughout the U.S.
JLL worked on behalf of multiple southern California-based borrowers to originate the 14 uncrossed, 10- and 12-year, fixed-rate Fannie Mae loans. The loans will be serviced by JLL Real Estate Capital, LLC, a Fannie Mae DUS lender.
The loans range from $6.1 to $40.1 million, with five of the 14 loans being acquisition financing to acquire properties located in Boise, Idaho; Pooler, Georgia; and West Los Angeles, San Marcos, Escondido, California. The remaining nine loans were cash out refinances backed by properties located in Bakersfield, Escondido and Sacramento, California; and Portland, Oregon.
All loans were part of Fannie Mae’s Green Financing program, allowing the borrowers to obtain preferential pricing and additional loan proceeds by making investments in energy and water efficient retrofits.
The JLL Capital Markets team representing the borrowers was co-led by Director Keith Rosso and Managing Director Marc Schillinger.
“We are extremely thankful to our clients who trusted us to navigate them through 14 separate and interconnected loan closings during a period of market volatility,” comments Rosso. “Thanks to the swiftness of our underwriting and closing teams, we’re thrilled our borrowers were able to quickly close and lock in historically low interest rates.”
Schillinger notes, “We have seen a trend of clients cashing out or selling some of their urban infill assets to purchase multi-housing properties in suburban California submarkets and out-of-state where there is greater affordability as residents continue to work-from-home and seek lower cost alternatives to gateway markets. The ability of JLL to manage multiple closings on strict timelines and in various states is a testament to the power of the national JLL Capital Markets platform.”
Of its Total $16.6 Billion in Originations for 2020, Greystone Produced $5.16 Billion in HUD-Insured Volume for Multifamily & Healthcare Properties Nationwide, Ranking #1 with Highest Market Share Among All Lenders
Greystone Completes 2020 as a Top 10 Fannie Mae DUS® and Freddie Mac Optigo® Lender; Ranks Among Top Lenders for Fannie Mae Small and Freddie Mac Small Balance Loans
Greystone, a leading national commercial real estate finance firm, reaffirmed its leadership position as a top FHA, Fannie Mae DUS®, and Freddie Mac Optigo® commercial lender with 2020 loan production volume totaling $14.3 billion across these three Agency platforms. In total, Greystone originated $16.6 billion in volume in 2020 including its balance sheet and proprietary lending platforms.
On its FHA platform, Greystone produced $5.16 billion in HUD-insured commercial loans, including multifamily and healthcare Firm Commitments and rate modifications, which reduce a borrower’s rate. This origination total comprises $3.84 million in multifamily loans and $1.32 million in healthcare loans.
Separately, Greystone financed $9.14 billion in multifamily loans across both Fannie Mae and Freddie Mac platforms, including affordable, seniors, student housing and small balance loans, the latter which are primarily mission-driven and workforce housing properties. In total, Greystone’s small balance origination volume surpassed $1.4 billion, positioning the firm as a leading provider of small loans for Fannie Mae (ranked #2) and Freddie Mac (ranked #3).
“I am inspired by the commitment, drive, and dedication of our lending, underwriting, and support teams to have accomplished what they did during an ongoing pandemic and the challenges that have come along with changing the way we are currently living and doing business,” said Steve Rosenberg, founder and CEO of Greystone. “With that said, we have only scratched the surface of our objective to be the unquestioned sole source of capital for existing and new clients. We are constantly evolving as the market continues to change, and I am beyond excited to see what our team will achieve in 2021.”
“The record-breaking year of loan volume where clients put their trust in Greystone to help them navigate through the HUD process is a testament to the hard work and dedication of our FHA team and excellent execution capabilities,” said Nikhil Kanodia, head of Greystone’s FHA lending platform. “The HUD option, with 35-year, non-recourse terms and low fixed-rate rates, is certainly catching on, and we are proud to be the leader in helping clients realize this financing solution.”
On being one of the top producing small loan lenders for both Freddie Mac and Fannie Mae, Rick Wolf, head of small loan production at Greystone, added, “We have always been committed to serving the small loans market and know how critical this segment is to the workforce housing community. Having worked very closely on small loans with Fannie Mae for over 16 years and with Freddie Mac since the inception of their SBL program in 2014, we know the demand for financing in this market segment is strong, and we thank each Agency for being our partners in serving multifamily investors in this space.”
JLL Capital Markets arranged acquisition financing for the apartments
DALLAS, Feb. 3, 2021 – JLL Capital Markets announced today that it has arranged acquisition financing for Chartwell Court, a multi-housing property located in Houston, Texas.
JLL worked on behalf of the borrower, REEP Equity, to originate the12-year, fixed-rate Fannie Mae loan. The loan will be serviced by JLL Real Estate Capital, LLC, a Fannie Mae DUS lender.
Originally built in 1995, Chartwell Court offers ample value-add opportunity for REEP Equity, who plans to renovate 40% of unit interiors and the property’s exterior. Unit upgrades will feature some new items to REEP's standard upgrade package, including stainless steel appliances and granite countertops. Other renovations include the addition of a package room with lockers; updates to clubhouse and business center/coffee bar; creation of a dog park; adding a pergola and grill; new furniture to the grilling and pool area; and overall enhancement of the landscaping around the property.
Located at 15100 Ella Blvd., the garden-style property is positioned in the popular Houston-Woodlands area. Chartwell Court has connectivity to all of Houston’s major employment centers and economic drivers – such as Pinto Business Park, George Bush Intercontinental Airport, Springwoods Village, the North Houston District and The Woodlands – via being just one mile from I-45 North. In addition, the apartments sit just three miles from Houston’s largest healthcare system, HCA Houston Healthcare’s Northwest Hospital, and various recreational activities, like the Mercer Botanic Gardens.
The JLL Capital Markets team representing the borrower was led by Senior Managing Director Mark Brandenburg and Senior Director CW Sheehan.
JLL delivers multi-housing investors a full range of solutions through one diverse, integrated platform. The division employs approximately 400 professionals who provide comprehensive investment sales advisory and disposition services with access to thousands of domestic and foreign investors. JLL is also one of the nation’s largest affordable and conventional multi-housing and seniors housing lenders with comprehensive loan underwriting, asset management and loan servicing capabilities.
JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm's in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment sales advisory, debt placement, equity placement or a recapitalization. The firm has more than 3,700 Capital Markets specialists worldwide with offices in nearly 50 countries.
Greystone, a leading national commercial real estate finance company, has provided $37,511,000 in Fannie Mae Delegated Underwriting and Servicing (DUS®) loans for the acquisition of three multifamily properties totaling 272 units in Delaware and New Jersey. The transactions were originated by Dan Sacks, Managing Director in Greystone’s New York office, on behalf of long-time client, Goldcrest Management. Jack Miller of Platinum Capital Group acted as correspondent on the transaction.
Greystone secured a non-recourse $25,069,000 Fannie Mae loan to acquire The Garrison in New Castle, Delaware, a 120-unit midrise multifamily apartment property constructed in 2019. The fixed rate loan carries a 12-year term with a 30-year amortization and five years of interest-only payments.
Greystone also provided a fixed rate $12,442,000 Fannie Mae Green Rewards loan featuring a 12-year term and 30-year amortization, with five years of interest-only payments for the acquisition of a two-property multifamily portfolio in Vineland, New Jersey. Regency Court is a 104-unit garden style apartment community constructed in 1971 and Chestnut Court a 48-unit garden style apartment community built in 1948.
“I can think of no greater affirmation of the quality of Greystone’s services than when clients repeatedly ask us to partner with them on their deals,” said Mr. Sacks. “We recognize that clients have a choice, and we are honored when they continue to choose Greystone. We aim to outperform on service and execution expectations on every engagement, so that clients who come back to us enjoy an even better experience than the one they remembered.”
“The Greystone team is integral to our success because they consistently leverage their deep expertise in the multifamily market and lending resources to meet the needs of my expanding portfolio,” said Mr. Hillel Hertz, principal of Hillcrest MH. “Their passion for multifamily is matched only by their pursuit of excellence on every transaction, and that’s exactly what I want in a partner.”
Greystone, a leading national commercial real estate finance company, has provided a total of $19,010,000 in Fannie Mae Delegated Underwriting and Servicing (DUS®) and Freddie Mac financing for two multifamily properties in northern California. The transactions were originated by John Tilsch of Greystone’s San Francisco office, on behalf of Gil Allon and Ariel Shenhar.
Greystone provided a fixed-rate, non-recourse, 10-year $8,902,000 Fannie Mae DUS loan for Woodfield Patio Homes, an 88-unit property located in North Highlands, just northeast of Sacramento, CA. The property was constructed between 1950 and 1952 on 4 non-contiguous parcels totaling 7.63 acres and encompasses 22 buildings.
Greystone also provided a fixed-rate, non-recourse, 7-year $10,108,000 Freddie Mac loan for Greystone Place Apartments, a 120-unit apartment community in Sacramento, CA. Since acquiring the property in 2016, Mr. Allon has significantly improved the performance of the asset through capital expenditures, identifying additional revenue sources, and management.
“Despite the challenging environment for property owners, there is availability for financing, and now is the time to take advantage of low interest rates,” said Mr. Tilsch. “Greystone can provide a number of financing options for borrowers, including both Fannie Mae and Freddie Mac, as well as bridge financing and other short- and long-term solutions to meet a borrower’s current capital needs.”
“Greystone provided a dynamic solution for our existing refinance needs on Woodfield and Greystone Place, and seamlessly guided me through two different -- but both very attractive -- financing options,” said Mr. Allon. “John’s market knowledge and client service are incredible resources as I look to continue exploring refinancing options.”