Greystone Provides $40M in Fannie Mae Financing for 2 Borrowers

Both properties are located in Indianapolis and total of 408 units.

Image by Carly Kewley via Unsplash

Greystone provided a total of $40.1 million in Fannie Mae Delegated Underwriting & Servicing loans for two separate multifamily properties totaling 408 units in Indianapolis.

The financing for both transactions was originated by Dan Sacks, senior managing director, and Avi Kozlowski, managing director, both of Greystone’s New York office. The borrowers and the addresses for their properties were not disclosed by Greystone but they were repeat clients of the national commercial real estate finance company.

In the larger of the two transactions, Greystone secured an approximately $23.5 million Fannie Mae Green Rewards loan carrying a 10-year term and 30-year amortization with full-term interest-only payments and 9.5 years of yield maintenance. The loan proceeds will enable the borrower to acquire and make improvements to the property, which is a 26-building, 200-unit garden-style community. Constructed in 1972, the asset has one, two- and three-bedroom floorplans.

The second property is a 24-building, 208-unit garden-style community built, in 1970 with studios and one- and two-bedroom apartments. For that borrower, Greystone secured an approximately $16.6 million non-recourse, fixed-rate Fannie Mae loan carrying a 10-year term and 35-year amortization, with full-term interest-only payments and 9.5 years of yield maintenance. It is a refinancing deal that will allow the borrower to use the loan proceeds to make improvements to the property and monetize a portion of the equity.

Representatives of Greystone declined to comment.

Recent Deals

Last week, Greystone announced Ward LLC had obtained a $13.7 million loan refinancing its Century Court West apartment community in Hutchinson, Minn. The financing for the 84-unit garden-style community was originated by Greystone’s Kyle Jemtrud and Wilson Molitor and is backed by the U.S. Department of Housing and Urban Development. The HUD 223 (f) loan carries a 35-year term and 35-year amortization at a low, fixed rate for the owners of the property constructed between 2020 and 2022.

In March, Greystone provided a $20.3 million Fannie Mae refinancing loan for Patriot Pointe Apartments, an 87-unit, luxury townhouse-style apartment community in Utah which was constructed in 2020. The loan is part of Fannie Mae’s DUS Green Rewards program and is to be paid in full-term, interest-only increments, subject to a non-recourse, fixed-rate agreement over 10 years, with a 30-year amortization. The Clawson Group Inc. served as a correspondent in the transaction.

You May Also Like