Greystone Provides $43M Refi Loan for Dallas Affordable Asset

Oak Tree Village Apartments

Greystone has provided a $43.2 million HUD Section 223(f) loan for the refinancing of Oak Tree Village Apartments, a 272-unit affordable housing community in Lewisville, Texas.

Greystone’s Managing Director, Shana Daby, originated the transaction on behalf of AMCAL Equities. The loan carries a 35-year term and amortization, having a low fixed rate. In addition to preserving affordability, the project will also benefit from a moderate rehab of approximately $15,000 per unit.

AMCAL acquired the property in 2021 from Maxus Realty Trust, according to Yardi Matrix data. The asset was an existing mixed-income LIHTC/market project outside of its initial 15-year LIHTC compliance period. AMCAL purchased the community using a Greystone bridge loan. Cirrus Asset Management is managing the property, the same source shows.

Project conversion

The project underwent a conversion to the Public Facility Corp., which involved a partnership with the Plano Housing Authority and a ground lease and regulatory agreement. The existing LIHTC restrictions were extended to the duration necessary for the project to qualify for a lower annual MIP of 0.35 percent. Oak Tree Village will benefit from a 100 percent property tax exemption, in exchange for additional affordability tied to the PFC structure.

Completed in 1985, the property encompasses 24 garden-style buildings with one-, two- and three-bedroom floorplans ranging between 650 and 1,310 square feet. Common-area amenities include a playground, a clubhouse, a swimming pool and laundry facilities. In-unit amenities consist of washers and dryers, fireplaces, vaulted ceilings and private balconies or patios.

Located at 1595 S. Old Orchard Lane, Oak Tree Village is near Interstate 35E and Route 121, which provide easy access to Dallas and Fort Worth. The area is close to a variety of dining options, retail spaces, schools and entertainment venues. LLELA Nature Preserve, Texas Health Presbyterian Hospital and Dallas-Fort Worth International Airport are within a 9-mile radius from the property.

Greystone has recently secured an $11 million Fannie Mae DUS refinancing loan for a 224-unit multifamily community in Houston. The fixed-rate, non-recourse mortgage has a four-year interest-only period and a 10-year term.