Greystone, a leading national commercial real estate finance company, has provided a $38,160,000 bridge loan for the acquisition of a multifamily property in Durham, North Carolina. The transaction was originated by Justin Hechler, Vice President at Greystone on behalf of Magma Equities.

University Apartments is secured by a new Greystone bridge loan that includes a 30-month term with two six-month extensions. The property was built in several phases between 1938 and 1984 and includes two outdoor swimming pools. Currently, approximately 60% of the property’s tenants are students affiliated with Duke University, located a mile away, and the new owner intends to broaden the tenant mix over time to a more traditional multifamily setting within the community.

“This property represents a fantastic opportunity for the sponsor to expand the existing tenant base in a region that’s experiencing population growth and increased apartment rental interest by young professionals and the workforce at large,” said Mr. Hechler.

“Greystone’s bridge program is attractive because it offers a number of permanent exit options that will enable the property to be set long-term, and enable us to provide a renewed living experience for existing and new tenants,” said Ryan Hall, Managing Principal, Magma.

Greystone, a leading commercial real estate finance company, announced the closing on August 10, 2021, for Greystone CRE Notes, 2021-FL3 Ltd., a $900 million Commercial Real Estate Collateralized Loan Obligation (CRE CLO) backed exclusively by bridge loans on primarily multifamily properties.

Greystone CRE Notes, 2021-FL3 Ltd. is the company’s fourth CRE CLO. The initial collateral pool for 2021-FL3 consists of 20 whole loans and 10 loan participations totaling $722.8 million that Greystone originated. The loans are secured by mortgages on 39 properties in 13 states. Greystone will invest the remaining $177.2 million of CLO proceeds over the next 180 days into comparable mortgage loan assets. The CRE CLO provides accretive financing at a weighted average coupon at issuance of L+1.32%, a record pricing for a 3-year managed CRE CLO transaction.

“We are thrilled that the market has been receptive to CRE CLOs to date in 2021, as we have a quality collateral pool built up from the demand of our growing bridge lending platform, which is seeing a two-fold increase in activity over the last year,” said Ross Gusler, Senior Vice President of Corporate Finance and Capital Market Finance at Greystone. The firm continues to build its bridge-to-Agency lending platform as additional support to the company’s top-ranked government-backed permanent lending solutions, with over $2 billion in short-term bridge loans already provided to borrowers through Q2 2021. “The overwhelming demand for this CRE CLO transaction exhibits Greystone’s strengths as a multifamily capital provider and asset manager, and we are gratified to have completed our largest CRE CLO to date as the market continues its recovery,” Gusler added.

The three-year actively managed CRE CLO offered six classes of notes rated investment grade, including a $502.9 million Class A tranche rated Aaa by Moody’s and Kroll Bond Rating Agency. In total, the investment grade offered bonds represented 83% of the $900 million of fully ramped collateral mortgages.

Greystone’s active participation in the broader multifamily market extends beyond mortgage lending to include sales advisory services, CRE asset management, and ownership/operational activities. The company is the #1 provider of HUD loans for commercial properties* and is a top 10 Fannie Mae and Freddie Mac multifamily lender.

Wells Fargo Securities, LLC, acted as sole structuring agent, and J.P. Morgan Securities LLC, UBS Securities LLC, and Goldman Sachs were co-lead bookrunners and placement agents of Greystone CRE Notes 2021-FL3, Ltd. with U.S. Bank National Association serving as Trustee.  

This press release is for informational purposes only. It shall not constitute an offer to sell or a solicitation of an offer to buy any securities.

About Greystone

Greystone is a private national commercial real estate finance company with an established reputation as a leader in multifamily and healthcare finance, having ranked as a top FHA, Fannie Mae, and Freddie Mac lender in these sectors. Loans are offered through GSC and GFC and/or other Greystone affiliates. For more information, visit www.greystone.com.

*HUD rankings are based upon combined originations of Greystone Servicing Company LLC (“GSC”), Greystone Funding Company LLC (“GFC”).  

Greystone, a leading national commercial real estate finance company, has provided a $9 million Fannie Mae Delegated Underwriting and Servicing (DUS®) Green Building Certification loan to refinance a newly-constructed 56-unit multifamily property in Ogden, Utah. The financing was originated by Lorie Hanson and Shana Daby, Managing Directors at Greystone, on behalf of Knox on 12^th Street, LLC.

The non-recourse $9,005,000 Fannie Mae loan carries a 12-year term, a fixed interest rate, four years of interest-only payments, and a 30-year amortization period. Knox on 12^th Apartments completed construction in 2020 and leased up rapidly. It is a mid-rise two-building property offering one- and two–bedroom units with modern appliances and finishes, in-unit washers and dryers, walk-in closets and private outdoor spaces. The pet-friendly property also offers 24-hour secure access and on-site parking. The property is conveniently located near the area’s shopping, entertainment and dining establishments, and is close to major arteries that lead to I-15 and Salt Lake City.

“We are committed to serving our clients well – whether it’s their first time working with us or if they have been with Greystone for decades, we want to help bring the vision for their properties to life,” said Ms. Hanson. “Greystone has deep experience and knowledge in the multifamily space that few can match, and our extensive lending platform can meet clients’ needs across the capital stack.”

“The caliber of our Greystone team was second to none. Greystone is committed to making our experience as seamless as possible and we look forward to many successful closings in the future,” said Johnny Clawson, principal of Knox on 12^th Street, LLC.

Greystone, a leading national commercial real estate finance company, has provided a total of $38,886,100 in HUD-insured financing for two multifamily properties in Berkeley County just north of Charleston, SC. The transaction was originated by Kelley Klobetanz of Greystone.

South Pointe Apartments, a 256-unit multifamily complex located in Hanahan, SC, was refinanced with a $27,025,300 HUD 223(f) loan. The loan will provide over $1.6 million for property repairs to improve residents' quality of life on top of $1.8 million invested in capital expenditures prior to the refinance.  

Rosewood Townhomes, a 100-unit multifamily complex located in Goose Creek, SC, was refinanced with an $11,860,800 HUD 223(f) loan. The property will benefit from $1 million in updates as a result of the HUD-insured financing, a continuation of $850,000 invested in repairs to date.

“We are thrilled to have provided a long-term, low-rate HUD loan that will enable property improvements for the benefit of residents in this affordable housing for decades to come,” said Ms. Klobetanz. “Greystone’s industry-leading HUD platform is an excellent solution to ensure permanent, long-term and fixed financing for multifamily owners.”

Greystone, a leading national commercial real estate finance company, has provided a $27.6 million HUD-insured loan to refinance a 228-unit multifamily property in Humble, Texas. The financing was originated by Eric Rosenstock, Managing Director in Greystone’s New York office, on behalf of Partin Properties, LLC.

The $27.6 million HUD-insured 223(f) financing carries a 35-year term and amortization, along with a low fixed interest rate. Originally built in 2016, Willowbend Apartments consists of 10, three-story buildings with one-, two-, three-bedroom units that offer modern appliances and finishes, in-unit washer/dryers, walk-in closets and private outdoor living spaces. Amenities include the pet-friendly community’s swimming pool, fitness center and clubhouse, business center, grilling area and outdoor kitchen, and on-site parking. Located near Spring Creek and Interstate 69 HOV, the property offers easy access to the area’s shopping, dining and entertainment hubs, major employers, downtown Houston, and the George Bush Intercontinental Airport.

“Greystone is here to see our clients through every phase of their project’s lifecycle and our deep multifamily lending platform can address all of their needs across the capital stack,” said Mr. Rosenstock. “We strive to exceed client expectations with our service, attention to detail and seamless execution, making the Greystone experience unlike any other.”

Greystone ranks as the #1 commercial lender for HUD-insured loans*, with the experience and knowledge for a well-executed lending experience that exceeds clients’ expectations.

“After decades working in all facets of the multifamily industry across the country, I can say with authority that Greystone’s finesse and ability to transact where others fall short is second to none,” said Mr. Jeff Partin, principal of Partin Properties, LLC. “Through every phase of this transaction, our team managed the details as if the property were their own. Greystone’s energy and enthusiasm are infectious, and their passion and perfectionism will keep us coming back in the future.”

About Greystone

Greystone is a private national commercial real estate finance company with an established reputation as a leader in multifamily and healthcare finance, having ranked as a top FHA, Fannie Mae, and Freddie Mac lender in these sectors. Loans are offered through Greystone Servicing Company LLC (GSC), Greystone Funding Company LLC (GFC) and/or other Greystone affiliates. *HUD rankings are based upon combined originations of GSC and GFC. For more information, visit www.greystone.com.

Greystone, a leading national commercial real estate finance company, has provided a $41.2 million bridge loan for the acquisition of a multifamily property in Austin, TX. The transaction was originated by Steven Vainer, Director at Greystone on behalf of Lynd Living.

The property is secured by a Greystone bridge loan that includes a 36-month term with two 1-year extension options, with the intention for permanent take-out financing with Greystone. 

Constructed in 2001, Legends at Lake Creek is a 250-unit value-add apartment complex in the highly affluent Anderson Mill submarket of Austin with a plethora of shopping, employment, and recreational opportunities nearby. Austin is a fast-growing market, ranked as the #1 “Hottest US Job Market” by The Wall Street Journal in 2020 and #1 “Best State Capital to Live In” by WalletHub in 2021, with Apple’s $1 billion campus under construction less than 3 miles from the property, anticipated to bring 15,000 jobs to the area.

“As soon as this asset was under contract, it was clear that the permanent debt solution was going to be an issue with closing on time. Greystone gave us their word they could deliver with an immediate, interim financing-to-permanent capital solution, and they succeeded,” said A. David Lynd, President & CEO, Lynd Living.

“Greystone’s bridge lending platform offers a variety of permanent exit solutions that are tailored to our clients’ needs. I’m thrilled we were able to assist Lynd Living with this recent acquisition, and for the long-term outcome as well,” said Mr. Vainer.