Houston Portfolio Lands $130M in Financing
- May 23, 2017
Berkadia arranged more than $130 million in financing for H7, a Class B multifamily portfolio comprising seven properties in Houston. Overall, the portfolio totals more than 2,000 units, with an average occupancy rate greater than 93 percent.
The floating-rate bridge loan was secured through a CMBS lender and features a 75 percent loan-to-value ratio. Managing Director Ed Kim of Berkadia’s Irvine office originated the financing.
The assets offer one- to three-bedroom floorplans and an array of amenities that include fireplaces, walk-in closets, dishwashers, ceiling fans, hardwood floors, built-in bookshelves, gated access, clubhouses, fitness centers and swimming pools.
“The solid rent growth and stable occupancy in the Houston Class B multifamily space, coupled with a decline in interest rates, has fueled an increase in apartment refinances,” Kim said in a prepared statement. “The lender was able to meet the borrower’s required timeline, which was aggressive, and provide a favorable structure accretive for the sponsor’s investment thesis.”
Image courtesy of Vlad Busuioc via Unsplash