A Class A, 264-unit/538-bed student housing property near a large Midwestern university was acquired with the assistance of a $51.5 million first mortgage loan secured by Grandbridge Real Estate Capital.
The financing was originated by Grandbridge Vice President Brett Olson based in the firm’s Minneapolis office.
The nonrecourse loan was funded through Grandbridge’s Fannie Mae DUS platform and featured a 15-year term with three years of interest-only followed by a 30-year amortization. The loan was closed with a fixed interest rate in the mid-four percent range.
“Grandbridge successfully worked with the borrower and lender to structure a transaction that met the borrower’s specific needs and the lender’s caveats,” Olson said in a prepared statement. “This successful working relationship enabled Grandbridge to meet our repeat client’s objectives and assist in the continued expansion of our client’s student housing portfolio throughout the Midwest.”
The property is located approximately one mile from the unidentified university campus. Amenities include:
- Resort-style swimming pool
- outdoor kitchens and roof-top terraces
- sand volleyball and bocce court
- fitness center and game room.
Last month, Grandbridge facilitated a $35.84 million loan secured by The Edge, a 602-unit, 1,067-bed Philadelphia student housing property. Freddie Mac provided the floating-rate loan for a private borrower. The 12-story building has ground-floor retail space occupied by quick-serve restaurants.
Also in June, Grandbridge arranged a $24 million non-recourse Fannie Mae loan for the refinancing of 119 South Apartments, a 264-unit Class A community in Mebane, N.C. In another North Carolina transaction, the firm provided a $10.4 million loan for the acquisition of Walker Ridge, a 144-unit community near Charlotte, N.C., in May.