Austin, Texas—Grandbridge Real Estate Capital has closed on a $67.55 million refinance loan secured by 947 units in three multifamily properties in the state of Texas, on behalf of a joint venture of a Camden Property Trust entity with Texas Teachers.
The three properties are Camden Amber Oaks I in Austin, Camden Amber Oaks II in Austin, and Camden Design District in Dallas.
“The properties are beautiful,” Greg Young, Grandbridge Real Estate Capital’s senior vice president in Houston, told MHN. “You can step on any Camden property and there are a couple of things that will be consistent across their entire portfolio; they will be very well managed, well taken care of and Class A across the board.”
This initial funding is part of a Fannie Mae master credit facility agreement for Camden Multifamily Value Add Fund LP, an affiliate of Camden Property Trust.
Funding for the nonrecourse loan was arranged through Fannie Mae’s DUS SARM loan product and features interest-only payments during the 10-year term. Additionally, the Fannie Mae master credit facility could refinance up to $275 million of the Value Add Fund’s outstanding indebtedness.
“We were pleased to partner with Grandbridge, one of our long-time DUS lenders, on this transaction,” Sharon Karaffa, Fannie Mae’s director of structured transactions, said. “Crafting custom solutions with our lender partners is what we do at Fannie Mae. This creative execution will allow Camden the flexibility to manage debt across their portfolio and meet the goals of their business strategy now and in the future.”
According to Young, properties in the pool are cross-collateralized and cross-defaulted with the option to add, substitute or release qualified properties to or from the facility.
“The attractive low rate, combined with the credit facility’s flexible terms, substitution features and prepayment options, made this structure fit our client’s current and future refinancing needs,” Young said.