L2 Investments Lands Refi for Two Alabama Communities

Located in Mobile, Ala., both properties boast high occupancy rates.

Linx Plaza Apartments. Image courtesy of Eastern Union

L2 Investments has secured upwards of $14.7 million in refinancings for its two communities in Mobile, Ala. Eastern Union’s Alex Jaffa and Michael Muller arranged the loans, which were provided by Arbor Realty Trust.

The two communities, which total 334 units, have a similar vintage and high occupancy rates. The 214-unit Linx Plaza Apartments received a nearly $9.2 million refinancing loan that carries a fixed 5.27 percent interest rate over a 10-year term. The community was built in 1976 and offers studio, one- and two-bedroom units that are spread throughout 16 two-story buildings. Common amenities include a playground, onsite laundry area, pet park, outdoor grill area and two pools. Located at 6964 Airport Blvd., Linx Plaza Apartments’ residents are only a few minutes away from the University of South Alabama and Providence Hospital.

The smaller, 120-unit Plantation Apartments received a $5.5 million loan with a fixed interest rate of 5.32 percent over a 10-year term. The community was built in 1977 and offers one- and two-bedroom units that are spread throughout 10 two-story buildings. The units include private patios or balconies. Common amenities include a laundry facility and a pool.

Plantation Apartments. Image courtesy of Eastern Union

Linx Plaza Apartments and Plantation Apartments are 89.7 percent and 91.7 percent occupied, respectively, an Eastern Union spokesperson told Multi-Housing News.

The owner doesn’t have plans for further upgrades or improvements to the two communities, according to the spokesperson, noting that the recent transactions came out of bridge loans where the owner had previously made substantial improvements to the communities.

Targeting Southern and Midwestern markets

Besides its Mobile communities, L2 Investments’ portfolio includes residential properties in Kansas City, Mo., and Omaha, Neb. The firm primarily targets multifamily assets in the Midwest and southwest, with fundamental growth drivers and high occupancy rates.

In May, Eastern Union arranged a $49.5 million construction loan for Hillcrest Acquisitions to develop its 288-unit community in Madison, Ala. Earlier in the year, the firm arranged a $28.1 million loan for the acquisition of a 13-property portfolio in Bridgeport, Conn.

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