Beech Street Closes $92.5 million in Freddie Mac Loans for 5-Property Portfolio Refinance
- Jan 16, 2014
Bethesda, Md.—Mortgage banking company Beech Street Capital announced Tuesday that it has completed a portfolio refinance for Wisconsin-based real estate development company Continental Property Companies Inc. The Freddie Mac CME loans total $92.5 million and cover a five-property portfolio that totals 1,254 units spread across Florida, Alabama and Wisconsin. Beech Street’s Assistant Vice President, Adam Bieber, originated the transactions.
“Beech Street Capital delivered exactly what they promised on our portfolio refinance,” says Edward Madell, chief financial officer at Continental. “Fast response and maximum value. The team at Beech Street was engaged and hands-on all the way through the process.”
The loans for Continental included four at fixed-rate with a seven-year term, 6.75 years of defeasance, and 30-year amortization that is payable on an actual/360 basis. The fifth loan includes all of the aforementioned terms, but also includes a one-year interest-only period.
Beech Street helped Continental to select appropriate structure for the loans after identifying its financial needs for refinancing the properties, which were developed by the borrower between 1991 and 2006. The transaction was the first between the two companies.
“This transaction, our first with Continental, gave us an opportunity to demonstrate that we can handle a large, geographically diverse portfolio and still provide the quick and effective results our clients require,” Bieber says. “We are grateful for the synergy between Beech Street, Continental and Freddie Mac and we look forward to continuing to provide our clients with the best service and execution in the industry.”
Continental Properties’ roots were cultivated in the retail and office real estate industry, but firm eventually moved into the multifamily arena in the late 1980s. As of May 2013 it had amassed 20 multifamily communities that total more than 5,400 units. The company’s multifamily offerings are composed of two brands, Springs Apartments and Bridlewood Apartment Homes.