Bellwether Closes First Equity Financing for $199M Deal

The mortgage banking firm arranged joint-venture equity financing on behalf of John M. Corcoran & Co. for the purchase of Windsor Garden Apartments, a 914-unit community in Norwood, Mass.
Windsor Garden Apartments in Norwood, Mass.

Windsor Garden Apartments in Norwood, Mass.

Bellwether Enterprise’s Equity Products Division brokered $41.5 million in joint venture equity financing for the acquisition of 914-unit Windsor Garden Apartments in Norwood, Mass. The total sale price was $199 million, and the deal was subject to a $160 million loan held by Freddie Mac, according to Yardi Matrix data. The buyers are AllianceBernstein and John M. Corcoran & Co., the current property manager, according to the same report.

This is Bellwether’s first equity financing since the opening of its specialized branch in November 2016. Todd Johnson, director of the company’s equity products division, arranged and structured the joint venture equity, which was provided by a New York City-based real estate investment fund.

“Although recently established, the Equity Products Division is already positioned for long-term success,” Ned Huffman, president of Bellwether Enterprise, said in prepared remarks. “We now have 85 debt placement specialists with tremendous, long-standing borrower relationships. Under Todd’s directive, Bellwether Enterprise is a full-service provider for the complete suite of capital needs.

Located at 624 Walpole St., Windsor Garden Apartments consists of 31 three-story, garden-style apartment buildings, 36 two-story townhouses and six accessory structures, including a clubhouse and day care. The units range from one to three bedrooms, with sizes varying from 580 square feet to 1,210 square feet. Residents can also enjoy amenities such as a tennis court, fitness center, playground, swimming pool and a media room, as shown by Yardi Matrix data. The community features an on-site commuter rail station, providing direct service to Boston’s Back Bay and South Station.

Bellwether Enterprise’s equity network includes 115 different providers, and transactions typically range from $3 to $100 million of equity per investment, with each investment lasting three to seven years. The company’s equity financing program includes multiple types of properties, including apartments, office, industrial, retail and student housing.

Image courtesy of Yardi Matrix