AEW Secures $35M Refinance on Hoboken Apartment Community

HFF arranges a refinancing for AEW Capital Management; NorthMarq arranges a $32 million refinance for infill apartments in San Francisco; and Beech Street closes a $7.4 million loan for a Sacramento-Area acquisition.

PrintHoboken, N.J.—HFF has arranged a $35 million refinancing for The Metropolitan of Hoboken, a 128-unit community located in uptown Hoboken, N.J. The borrower was AEW Capital Management, which landed a three-year, fixed-rate loan through Capital One. AEW owns the asset on behalf of an institutional client.

The 2000-built property is located at 1300 Clinton and 1313 Grand Streets. It was 96 percent leased at the time of closing, and consists of one-, two- and three-bedroom layouts. Amenities include a fitness center, two resident lounges, a parking garage and a landscaped courtyard with picnic area, as well as a free shuttle to the PATH Hoboken train station.

The HFF team representing the borrower was led by Managing Director Jim Cadranell along with Senior Managing Director Jon Mikula and Associate Director Samuel Seiden.

“Capital One provided very competitive pricing and maximum flexibility for AEW on this transaction. It was a pleasure to work with both of them on this financing,” Cadranell says.

NorthMarq arranges a $32M refinance for infill apartments in San Francisco

San Francico–Dennis Williams, managing director, NorthMarq, and Brian Esquivel, assistant vice president, NorthMarq, arranged the $32 million refinance of 2130 Post, a recently renovated Class A, 71-unit multifamily property located at 2130 Post Street, San Francisco.

The transaction was structured with a seven-year fixed-rate loan and was arranged by NorthMarq for the borrower through an existing banking relationship. “The bank offered unique, market-leading terms for the borrower on this infill Class A multifamily project,” says Williams.

Beech Street closes $7.4M for Sacramento-Area multifamily acquisition

BeechNorth Highlands, Calif.—Beech Street Capital has provided a $7.4 million Freddie Mac adjustable rate loan for the acquisition of Sierra Vista Apartment a 185-unit community in North Highlands, Calif. Andrew Kwok, assistant vice president in Beech Street’s office in Newport Beach, California, originated the transaction.

The buyer was Trion Properties, an investment firm that specialized in adding value through hands-on management, heavy renovations and aggressive leasing. While the asset was outside of Trion’s tradition geographic footprint, though firm has a scale and expertise in the nearby Sacramento market.

“The in-place cap rate is 6.5 percent,” notes Farhan Mahmood, director of acquisitions for Trion. “We project a post-renovation cap rate of 8 percent with a low basis of approximately $50,000 per unit.”

The community features two swimming pools, two spas, playgrounds, a leasing office, fitness center, tennis court and 18 laundry rooms (one in each building). The loan has seven-year term, a one-year interest-only period, and 30 years of amortization payable on an actual/360 basis. It has a flexible prepayment structure, one-year lockout followed by 1 percent thereafter.