By Laura Calugar
After providing two multifamily acquisition loans for the acquisition of two communities in North Carolina and Virginia, Hunt Mortgage Group has secured FHA loans to refinance two affordable apartment properties in Michigan. The total investment is $9.5 million. The properties include Village of Joseph’s Run Apartments in Midland and Roxbury Court Apartments in Clio.
“The borrower recently came to terms for a buyout of the tax-credit investor and is now in a position to recapitalize both of these assets for the long-term investment horizon with FHA insured financing. Both properties are located in stable rental markets with no new competitive affordable multifamily projects in the development pipeline,” said Hunt Mortgage Group Vice President Gabe Seghi, in a prepared statement.
Since they were originally developed with an allocation of nine percent federal tax credits, both properties have been operated under the Low-Income Housing Tax Credit (LIHTC) program.
Village of Joseph’s Run Apartments is a 128-unit community located at 700 Joseph Drive. The property is situated on 12.5 acres of land and was built in 2003. Village of Joseph’s Run consists of 11 garden-style, two-story buildings and a single-story clubhouse building. The property has 64 two- and 64 three-bedroom units. Amenities include a laundry facility, community room with kitchen, exercise room, swimming pool, basketball court, playground and picnic areas. The total Hunt Mortgage Group investment in this property is $7.4 million, and the loan term is 35 years.
Roxbury Court Apartments is located at 292 Smith St. and comprises 90 units, all restricted to residents 55 or older. The unit mix includes one- and two-bedroom apartments. Five units are designated as handicap-accessible dwelling units. Built in 2002, the community sits on a six-acre parcel. Amenities include on-site leasing and management office, community room with kitchen area, library/computer rooms, exercise center and hair salon. According to Yardi Matrix data, Royal Castle Cos. is the owner of the property. Hunt Mortgage Group’s investment in this community is $2.1 million, with a 35-year loan term.
Image courtesy of Yardi Matrix