Slatt Capital Secures $103M Credit Facility
- Jul 01, 2021
Slatt Capital has closed on a $102.5 million credit facility for a portfolio of 840 workforce units in Austin, Texas. A debt fund provided the loan, with John Darrow and Ethan Habecker of the company’s Newport Beach, Calif., office working on behalf of the sponsor.
According to Darrow, companies are beginning to recognize the benefits that the CLO and balance sheet lenders provide compared to conventional multifamily credits.
Earlier this year, Valiant Residential became the manager of the two properties that comprise the portfolio.
A desirable market
The metro’s diversified economy, positive migration trends, as well as the presence of major tech companies make it a magnet for investors. Tesla is planning to create 5,000 new jobs in the area with the development of the Tesla Gigafactory. Additionally, Oracle intends to relocate its Silicon Valley headquarters to Austin, along with implementing a more flexible employee work location policy.
According to Yardi Matrix data, Austin is one of the top three markets in Texas for multifamily development in 2021. Planned deliveries are expected to hit 26,847 units this year, doubling the number of units that were brought to completion last year.