Berkadia Secures Acquisition Loan for AL Community
- Mar 12, 2019
Berkadia has arranged $16.8 million in acquisition financing for Renaissance at Galleria, a 244-unit apartment community in Hoover, Ala. Fannie Mae provided the fixed-rate loan over a 12-year term with 5 years interest only. According to Yardi Matrix data, seller InterCapital Partners purchased the asset in 2014 for $20.7 million from CLK Properties.
Senior Managing Directors Charles Foschini and Mitch Sinberg, Managing Director Chris Apone and Associate Director Matthew Robbins from Berkadia’s South Florida office arranged the loan on behalf of the buyer. Recently, the same team arranged a $48.7 million Freddie Mac refinance loan for a 969-bed student housing community in Lubbock, Texas.
Situated at 3800 Galleria Woods Drive, Renaissance at Galleria is 13 miles south of Birmingham, Ala. The community is very close to Interstate 459 and within 1 mile of several dining, retail and entertainment establishments, including Riverchase Galleria shopping mall. Completed in 1994, the asset encompasses 16 two-story buildings. The one-, two- and three-bedroom units range between 790 and 1,400 square feet. Of all units, 71 have been fully renovated. Common-area amenities include:
- swimming pool
- fitness studio
- business center
- several laundry facilities
- 450 parking spaces
“The Greater Birmingham employment market is seeing a healthy push from several automobile manufacturers calling Alabama home. Large-scale investments like those from Mercedes-Benz and MollerTech have supported the area’s multifamily community, where rising demand is expected to increase apartment occupancy by 10 basis points,” Foschini said, in prepared remarks. At the time of the sale, the property was 94.3 percent occupied.
Image courtesy of Berkadia
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