Greystone provided $12,750,000 in bridge financing for the acquisition of Highland Meadows Health & Rehab, a 120-bed skilled nursing facility in Rockwall, Texas. The financing was originated by DJ Elefant, Vice President at Greystone, on behalf of HACO Properties, LLC. Helios Healthcare Advisors served as the debt broker in the transaction.
The $12.75 million in non-recourse bridge financing from Greystone features a 24-month term with one 12-month extension option and is interest-only. Greystone has already begun working with the new owner to follow a path in exiting the interim financing with a long-term HUD-insured permanent loan.
The 5-star rated facility, operated by HACO Health Solutions, LLC, provides both private and semi-private residential units, as well as a number of amenities for its residents including a salon, dayroom, and library. Comprehensive therapy services available include in-patient offerings such as physical, occupational, and speech therapies, and specialized programs such as ortho, stroke recovery, post-surgical and cardiac rehabilitation.
“It is gratifying to help a committed and dedicated operator become an owner, and enable them to achieve their goals for growth,” said Mr. Elefant. “The improvement in quality of care and overall success that Highland Meadows has experienced since the borrower took on the operations in 2020– especially throughout the pandemic – has been impressive, and I’m thrilled for the future of the facility and all it offers to residents of Rockwall.”
“We are thrilled to have moved our HACO Health Solutions, LLC in the next best financial direction. We could not have asked for a better team to work with and are thankful to Greystone for the hard work and seamless transaction,” added Gracen Hawley, Co-Owner and Co-Operator of Highland Meadows.
The joint venture team of Cushman & Wakefield and Greystone announced that they arranged the sale of and provided acquisition financing for City Heights Hoover, a 160-unit multifamily community located in the Hoover suburb of Birmingham.
Cushman & Wakefield’s Andrew Brown, Craig Hey and Jimmy Adams represented the seller in the $15.37 million transaction. Greystone’s Steven Vainer originated an $11.6 million bridge loan featuring interest-only payments. The multifamily property was sold by SB Pacific Group. The buyer is a joint venture between 3MC Partners and Hinze Real Estate Partners.
“The property is poised for unparalleled growth in the coming years due to restrictions on new multifamily developments in the area and with current market rents well-below its nearby competitive set. New ownership has plans for an extensive rehab to the asset’s unit interiors, common areas and amenities,” said Brown, Managing Director at Cushman & Wakefield.
“Strong market fundamentals certainly support favorable financing for this property,” added Steven Vainer, Managing Director at Greystone. “Additionally, Greystone’s close relationship with Cushman & Wakefield as a joint venture partner ensures we have an acquisition financing solution that can fit the client’s needs. We are thrilled to have helped 3MC Partners and Hinze Capital add this quality asset to their portfolio.”
Built in 1975, City Heights Hoover offers is in a highly desirable location with a top five ranked school system nearby along with strong visibility and frontage on Lorna Road. The property is also minutes from more than 10,000 jobs and 5.5 million square feet of quality retail amenities that are available in the surrounding area. Amenities on-site at City Heights Hoover include a fitness center, pool, grill and on-site laundry facilities.
“We are excited to add another Birmingham asset to 3MC’s multifamily portfolio in partnership with Hinze Capital. This is a great property and we look forward to creating an even better community for the residents who live here as we make further improvements to the property,” said Matt Bodnar, one of 3MC’s founding partners. “In partnership with Hinze Capital, we can further 3MC’s mission to invest in quality multifamily assets across the Southeast,” Bodnar continued.
Cushman & Wakefield’s Sunbelt Multifamily Advisory Group is an 85-person investment sales team covering 11 states with No. 1 multifamily market share in that region based on sales volume and transactions reported to CoStar. Per Cushman & Wakefield, in 2021, the group closed $13.8 billion in sales volume through 429 deals and nearly 85,000 units. For more information about the Sunbelt Multifamily Advisory Group, visit https://multifamily.cushwake.com.
About Cushman & Wakefield
Cushman & Wakefield (NYSE: CWK) is a leading global real estate services firm that delivers exceptional value for real estate occupiers and owners. Cushman & Wakefield is among the largest real estate services firms with approximately 50,000 employees in over 400 offices and approximately 60 countries. In 2021, the firm had revenue of $9.4 billion across core services of property, facilities and project management, leasing, capital markets, and valuation and other services. To learn more, visit www.cushmanwakefield.com or follow @CushWake on Twitter.
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, Greystone Funding Company LLC and/or other Greystone affiliates. For more information, visit www.greystone.com.
About 3MC Capital Partners
3MC Capital Partners is a real estate private equity firm that focuses on multifamily acquisitions, development, and management throughout the Southeast and has a growing portfolio of multifamily assets across Tennessee and Alabama. For more information about 3MC Partners visit: https://3mcpartners.com/
About Hinze Real Estate
Hinze Real Estate Partners is a real estate private equity firm, based in Dallas, TX that focuses on multifamily acquisitions and development in top MSAs throughout the U.S.
Greystone, a leading national commercial real estate finance company, has placed $140 million in total financing for both the refinancing and new construction of senior housing in Scottsdale, AZ. Greystone’s Senior Housing Capital Markets Team, led by Cary Tremper and Matt Miller, arranged the financing from a national bank on behalf of Senior Resource Group, LLC.
Phase I of the luxury senior living community, Maravilla Scottsdale, is comprised of a fully stabilized 217-unit independent living, assisted living, and memory care property that has received numerous awards and recognitions, including being named “Best 50+ CCRC Community by the National Association of Home Builders (NAHB), Best Multi-Family Project by Arizona Commercial Real Estate (AZRE), as well as “Ten Best Places to Live” by Arizona Foothills Magazine. Located in North Scottsdale in Maricopa County, Maravilla Scottsdale’s Phase I opened in 2012.
Phase II of Maravilla Scottsdale is a planned 193-unit independent living community on the same parcel as Phase I that will overlook the infamous TPC Scottsdale Golf Course. Spread over 11 acres with multiple common area spaces, the latest phase is estimated for completion in mid-2023.
“It is always exciting to see our clients grow, and especially in the literal sense with this amazing Scottsdale asset almost doubling in size to meet the submarket demand for the highest quality of senior living,” said Mr. Tremper, head of Greystone’s Senior Housing Capital Markets Team.
Greystone, a leading national commercial real estate finance company, has provided a $17,570,000 Freddie Mac Targeted Affordable Housing (TAH) loan for a 559-unit multifamily property in Tampa, Florida. The transaction was originated by Ryan Harkins, Director at Greystone, on behalf of the Michaels Development Company.
The fixed-rate, non-recourse financing carries an 18-year term and a 35-year amortization. The property has LITHC, Bond and SAIL land use restriction agreements (LURAs) in place that require limits on tenant income and rent restrictions for all units. Constructed in 2003 and 2005, Belmont Height Estates I and II is a 559-unit garden style apartment complex in Tampa, Florida, that offers one-, two-, three- and four-bedroom units with a Boys and Girls Club onsite. Property amenities include three clubhouses, business center, community rooms, laundry rooms, basketball courts, fitness center, playground, pool, picnic area, service coordination, and after school programs.
"Belmont Heights I and II have long been a critical affordable housing resource for families in Tampa," said Kenneth Crawford, Executive Vice President of Michaels Development. "Michaels and our partner, The Tampa Housing Authority, are grateful to Ryan and the entire team at Greystone for their help in ensuring Belmont stays affordable, well capitalized, and well-maintained for years to come through this successful transaction.
“Greystone’s expertise with affordable housing and its many complexities, as well as our long relationship with Freddie Mac, are all part of the ways we help property investors navigate this area of real estate,” said Mr. Harkins. “Greystone is passionate about seeing affordable communities thrive, and we were thrilled to help our client in this endeavor.”
“The Michaels Organization is best in class in affordable housing development. We thoroughly enjoyed working with David, Kelly, Ken and the rest of The Michaels Organization team to get this deal to the finish line,” added Mr. Harkins.
Greystone Closes Minority Investment in Passco; Investor-Centric Alliance Expands Acquisition Potential and Deepens Opportunities in the Private Capital Real Estate Arena
A new union just launched in commercial real estate, and it’s founded on something unique: love.
Greystone, a leading national commercial real estate finance company, and Passco Companies, a privately held California-based commercial real estate company specializing in real estate acquisition, development, and asset management throughout the U.S., together announce a strategic alliance to provide their respective clients and investors with enhanced benefits surrounding the Delaware Statutory Trust (DST) CRE investment channel, as well as other real estate investment opportunities in the future. The new relationship manifests both companies’ desire to lead with the protection of their clients’ assets, and the appreciation for the people who do so on a daily basis.
The Greystone-Passco alliance creates a newly positioned institutional sponsor in the rapidly expanding DST investment sector. With its minority investment in Passco, Greystone is strengthening its platform into a new market with its investment in Passco, who has been an industry leader for over 20 years. The Greystone-Passco alliance will be providing a broader range of acquisition opportunities including post-construction and pre-stabilized properties.
“This union delivers something the industry has yet to see – a strategic vehicle with exponential growth opportunities that is focused on putting people first,” says Bill Passo, CEO and Founder of Passco Companies. “Our investors, partners, employees and their families are central to our focus. This is the bottom line in everything we do at Passco, and we have found complete alignment in that value with the Greystone team.”
Coming off a record year of $1.7 billion in transaction volume in 2021, Passco aims to exponentially surpass this growth in 2022 by leveraging Greystone’s extensive network, access to brokers, and balance sheet. The #1 HUD commercial lender* and a Top 10 Fannie Mae and Freddie Mac lender, Greystone originated $18.3 billion in CRE financing over 1,100+ executions in 2021, and provides a full range of capital solutions for property investors in multifamily and beyond.
Stephen Rosenberg, Founder and CEO of Greystone, adds, “Greystone’s strength is our people, period. Our success to date can be attributed to the trust we have in every individual at the company who each take the responsibility as a steward of our clients’ property investments very seriously. In joining forces with Passco, I truly believe that the power of partnership between two organizations with our aligned values will prove to be limitless.”
“Passco’s investment platform has already proven itself a well-oiled engine,” notes Rosenberg. “Together, we are now an unstoppable force that is positioned to grow ten-fold by opening doors of opportunity for investors, guided by the level of care they need and deserve as they consider the DST sector.”
Passco currently oversees $3.7 billion in assets under management, including 54 properties in 16 states. With Greystone’s backing, the firm aims to further expand its real estate portfolio in primary and secondary markets throughout the nation.
“Passco’s success over nearly 25 years can be credited to our team’s ability to strategically identify assets poised for growth,” says Passo. “We look forward to working alongside Greystone to continue to identify strong multifamily assets, while diversifying into other sectors and strengthening our position as a major player in the industry.”
Passco is represented by Kevin Gannon, Chairman/CEO of Robert A. Stanger out of Shrewsbury, New Jersey.
Greystone, a leading national commercial real estate finance company, has provided an $8,972,000 Fannie Mae Delegated Underwriting Services (DUS®) loan to refinance a 116-unit multifamily property in Hoover, Alabama. The transaction was originated by Keith Hires and Carter King, Managing Directors at Greystone, on behalf of Fillmore Capital Partners.
The non-recourse, fixed-rate, interest-only $9 million Fannie Mae loan for The Benton Apartment Homes carries a 10-year term. Located in Jefferson County within the Birmingham MSA, Benton Apartments is 100% occupied and comprises 24 one-bedroom, 76 two-bedroom, and 16 three-bedroom residential units. The property includes amenities such as a clubhouse with business center, playground, and swimming pool.
“We are very excited about our acquisition of this strong performing asset in a premiere, high growth submarket of Birmingham, which is our first acquisition in Alabama and a logical expansion for our portfolio, which includes over 3,500 units in Georgia,” said Michael O. Reinardy, Chief Acquisitions Officer at Fillmore Capital Partners.
“Fillmore has been a pleasure to work with over the years, and we are honored to have played an integral role in helping them to grow their multifamily investment portfolio in the U.S.,” said Mr. Hires.
