Houston Asset Lands $36M Refi

By Alex Ciorogar

Nottingham Village

Arbor Realty Trust Inc. Vice President Ronen Abergel led the team which has secured a $35.9 million FHA 223(f) loan to refinance Nottingham Village, a 317-unit community located in Houston’s Addicks submarket. The FHA 223(f) was structured as a fixed-rate, 35-year term loan.

Located at 14250 Kimberley Lane, the two-story property features two-, three- and four-bedroom apartment units totaling 465,670 rentable square feet. Spread across a 16.4-acre site, the community comprises more than 40 buildings. According to Yardi Matrix, the property was 89 percent occupied at the time of negotiation. Asset Plus Co. currently manages the asset.

Interior amenities include fireplaces, vaulted ceilings, dual-pane glass and microwave ovens. Common area amenities include:

• controlled access
• clubhouse
• tennis court
• two swimming pools with salt water
• spa
• 650 partially covered parking spaces
• Wi-Fi

Upcoming renovations

A two-phase development completed in 1971 and 1983, Nottingham Village will receive a $500,000 renovation, which will include new windows and countertops, sliding doors and cabinetry, as well as an improved electrical grid. In 2012, the property was subject to a CMBS loan of $15 million.

“Due to the property’s location and the borrower’s request for a substantial cash-out, no single execution could hit the requested loan amount,” Abergel said. “However, by combining our balance sheet capability with HUD’s favorable terms, we could achieve the borrower’s objective.”

Image courtesy of Yardi Matrix