HFF Refinances Bridge Loan with $15.6M HUD 223(f) FRM at Attractive Leverage
- Dec 17, 2010
Fife, Wash.–The Portland office of HFF (Holliday Fenoglio Fowler, LP) announced it has arranged a $15.6 million refinancing for Rainier Pointe, a 241-unit multi-housing community in Fife, Wash.
Working exclusively on behalf of a joint venture between Security Properties and Equity Resource Investments, HFF managing director Casey Davidson and director Tom Wilson placed the 35-year, fully-amortizing, 3.79 percent fixed-rate (excluding mortgage insurance premium) 223(f) FHA loan with AmeriSphere Mortgage Finance, LLC. The new permanent financing replaced an existing short-term bridge loan.
“The 223f program offers multi-housing borrowers the highest leverage in the market at attractive long term rates,” says Davidson.
Rainier Pointe is located at 6643 20th Street with direct frontage on Interstate 5 in Fife about six miles from downtown Tacoma and 30 miles from downtown Seattle. The property is currently undergoing renovations to the exterior as well as individual unit renovations. The one-, two- and three-bedroom units average 751 square feet each and are 88 percent occupied.
“The borrower, a major institutional owner of multifamily across the nation, repositioned the asset for the long term by taking advantage of this historically low-interest rate environment. The FHA process is a long and arduous process versus other traditional financing options; however, for those multifamily borrowers who have patience and are seeking maximum leverage and a long-term interest rate solution this is a very compelling loan program,” added Wilson.