Marietta, Ga.—Cortland Partners, owner of Watermark at East Cobb, a multifamily community in metro Atlanta, has obtained a $62 million Freddie Mac loan for the property. The seven-year floating rate loan includes two years of interest-only followed by 30-year amortization for the remaining term.
The 510-unit Watermark at East Cobb is in Marietta, Ga., a major city that has seen population growth of roughly 5 percent since the end of the recession. The property offers residents two resort-style pools; tennis courts; an athletic center; playground; volleyball courts; outdoor kitchen; nature trail; fishing lake; and pet park.
The loan for Watermark at East Cobb was closed by Greg Krafcik and Keith Hires of Greystone, and arranged by Mike Galla and David Collie of iCap Realty Partners. Greystone previously provided a $58 million bridge loan for the recapitalization of the property, and then guided Cortland Partners to a permanent exit with Freddie Mac’s Program Plus platform.
“Generally, I expect multifamily financings to remain robust,” Krafcik told MHN. “The multifamily asset class is in high demand by multiple lending capital sources. A slight raise in rates on the short end of the curve will do little to offset the demand to deploy debt capital into the multifamily space.”
Hires agreed with that assessment. “With a potential slight rise in interest rates by end of the year, I expect multifamily financing to remain strong for the first half of 2017,” he told MHN.