Lynd Co. Lands $45M for Texas Portfolio

Hunt Real Estate Capital arranged the loan that will be used for the refinancing and renovation of three properties in San Antonio and Universal City, Texas.
Lynd portfolio property. Image courtesy of Lynd Co.

Having owned the San Antonio Lynd Portfolio for more than 30 years, Lynd Co. has secured a $45 million first mortgage bridge loan to enable refinancing and renovation of the portfolio’s holdings, continuing the firm’s investment within each property. Hunt Real Estate Capital provided the loan.

The San Antonio Lynd Portfolio is made up of three workforce, garden-style multifamily communities totaling 645 units located in San Antonio and its suburb of Universal City, Texas. The portfolio includes Auburn Creek, Fairways V and The Meadows. 

The current capital improvement plan at the properties kicked off in 2018. Renovation plans include the installation of new vinyl flooring, carpet, blinds, resurfaced tubs, new Formica countertops, tile backsplashes, new cabinets, plumbing and lighting fixtures, door hardware and smoke alarms. Also added will be black refrigerators, ovens and dishwashers.

Lynd plans to renovate the interiors of those units not yet rehabilitated. After the properties are fully upgraded, Lynd will place permanent debt on the portfolio.

This was a unique transaction in that the sponsorship have already overachieved on their expected rent rates, but have still decided to step up to further improve the quality of this long-held portfolio with an additional renovation plan,” Hunt Real Estate Capital Director Marc Suarez, told Multi-Housing News.

This was a strong sponsor and a high-quality portfolio of multifamily properties, so the only real challenge was timing of close, and we were able to close well within the 40-day mark. It is amazing how smooth the financing process can run when you combine a strong, experienced and dedicated lending team with a sponsor able to turn around due diligence in a very efficient, professional manner.”

Portfolio breakdown 

Auburn Creek is located at 4411 Gardendale Street in San Antonio. The property was built in 1976 and features 224 units offering private balconies and patios, semi-private entries and outside storage, spread across 14 two-story apartment buildings. Topping the list of common-area amenities is a swimming pool. The property also includes a leasing office and single-story clubhouse building.

Fairways V is situated at 8710 Datapoint Drive in San Antonio. The property was constructed in 1975 and features 205 units offering private balconies or patios and semi-private entries, spread across 26 two-story residential buildings. A spa is among the common-area amenities. The property includes two one-story laundry buildings and a pair of one-story boiler buildings.

Meadows Apartments is located at 14001 Oak Meadows in Universal City. The property was constructed in 1974, and features 216 units offering private patios or balconies, semi-private entries and outside storage across 24 two-story buildings. A clubhouse is among the common-area amenities. The property also features two one-story laundry and two one-story boiler buildings.

Fueled by growth in health services, military and tourism, San Antonio is enjoying robust population growth. It is the second-fastest growing city in the nation, according to the U.S. Census Bureau. Situated within the South Texas Medical Center, Auburn Creek and Fairways V give residents proximity to more than 75 medically-related institutions.

Lynd is a repeat bridge client of Hunt Real Estate Capital, having recently joined forces on $39.5 million in loans to fund the acquisition and renovation of the Virginia Beach, Va., 266-unit high-rise apartment community Mayflower Apartments.